Biolase CEO Optimistic After Tumultuous Year
IRVINE, Calif. — The head of Biolase Inc. said he is confident the dental laser firm will grow in the new year after enduring a tumultuous 2014.
“The latter half of 2014 marked the beginning of the transformation of Biolase with a new board of directors and management,” said Jeffrey M. Nugent, who was chosen in June to replace ousted CEO Federico Pignatelli.
“Among the many problems we faced last June, revenues had been declining and there were substantial legal and administrative expenses caused by litigation that worsened the negative momentum even further,” Nugent said.
Revenue for the year was $47.7 million, down 15.4 percent from $56.4 million in 2013. The company attributed the downturn to “distractions” caused by shareholder litigation and management changes and turnover in its sales department.
Net loss was $18.9 million, compared to a net loss of $11.5 million in 2013.
In the last six months of the year, Nugent said, the company secured two equity financings and took other steps to strengthen its balance sheet. He said the company also moved to address customer complaints and doubled the warranty period of its flagship WaterLase systems.
Lastly, the company implemented a new product strategy and introduced two new products in recent months.
Nugent said Biolase continues to address “various legacy cultural and operational issues.”
New CFO named
Meanwhile, the company earlier this week named David C. Dreyer as its new chief financial officer. He replaces Frederick D. Furry, who resigned Jan. 31 to pursue other opportunities.
Dreyer has experience as chief financial officer of several publicly owned medical device, medical staffing and pharmaceutical companies. Most recently he was CFO of Patient Safety Technologies Inc., which was sold to Stryker in 2014.
He also has hands-on experience in health care services, biotechnology, pharmaceutical and medical device research, manufacturing and marketing, and serves on the boards of directors of InfuSystem Inc. and Diplomat Pharmacy Inc.
Dreyer has a bachelor’s degree in accounting from Golden Gate University. He has been a certified public accountant in California since 1986.
Biolase develops, manufactures and markets lasers for dentistry and medicine, as well as 2-D and 3-D digital imaging equipment, CAD/CAM intraoral scanners and in-office milling machines and 3-D printers. Its dental lasers are used in cosmetic and complex surgical applications.