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  • 10 August 2022
    Sonendo, Inc. Reports Second Quarter 2022 Financial Results

    Sonendo, Inc. (“Sonendo”), a leading dental technology company and developer of the GentleWave® System, today reported financial results for the quarter ended June 30, 2022.

    Recent Highlights

    Total revenue of $10.5 million for the second quarter of 2022, representing growth of 32%, compared to prior year period

    GentleWave's ending install base as of June 30, 2022, was approximately 900 units

    Announced full commercial launch of CleanFlow® Technology on April 20, 2022

    In late July, Sonendo accessed the first $10 million tranche of the amended $20 million credit agreement with Perceptive Credit Holdings

    “The second quarter of 2022 was an exciting quarter for Sonendo. We launched our next generation procedure instrument, CleanFlow, and achieved record volumes of 74,000 procedure instruments sold," said Bjarne Bergheim, Chief Executive Offer of Sonendo. "We are also encouraged by the steady improvement of our expanded Consumable Rep team, who continue to focus on clinical education and training to improve endodontic practice efficiencies and increase utilization.”

    Second Quarter 2022 Financial Results

    Total Revenue was $10.5 million in the second quarter 2022, an increase from $8.0 million in the second quarter 2021. GentleWave console revenue was $2.7 million in the second quarter 2022, an increase from $1.7 million in the second quarter 2021. Procedure instrument revenue was $4.8 million, an increase from $3.7 million in the second quarter 2021. Software revenue was $2.1 million, an increase from $1.8 million in the second quarter 2021.

    As of June 30, 2022, GentleWave ending install base was approximately 900 units, compared to approximately 730 in the prior year period.

    Gross margin for second quarter 2022 was 24%, compared to 26% in the second quarter 2021. The decrease in gross margin was driven primarily by operational inefficiencies due to disruption in the supply chain – which the Company estimates was an approximate 300 basis point headwind in the quarter.

    Total operating expenses in the second quarter 2022 were $16.8 million, compared to $12.0 million in the second quarter 2021. The increase was driven primarily by higher personnel related expenses, sales hiring, marketing and higher general and administrative costs, primarily legal and accounting associated with operating as a public company.

    GAAP loss from operations was $14.3 million in the second quarter 2022, compared to $9.9 million in the second quarter 2021. On a sequential basis, GAAP loss from operations improved from $14.6 million in the first quarter of 2022.

    Non-GAAP loss from operations was $11.9 million in the second quarter 2022 compared to $9.0 million in the second quarter 2021. Non-GAAP loss from operations excludes revaluation of contingent consideration, stock-based compensation expense, and depreciation and amortization expense.

    Net loss was $15.1 million for the second quarter 2022, compared to $11.1 million in the second quarter 2021.

    As of June 30, 2022, cash and cash equivalents and short-term investments totaled $51.8 million, while long-term borrowings totaled $30.0 million.

    2022 Financial Guidance

    The Company expects full year 2022 total revenue to be in the range of $40.5 million to $42.5 million, representing annual growth between 22% and 28%.