"In our base business, gross margins on product sales reached 60 per cent, which compares quite favorably with our competitors' margins. And thanks to the market's enthusiastic reception of our expanding Lux line of products, we doubled the size of our domestic sales force at the end of the year," said CEO for Palomar Joseph Caruso.
Palomar showed a significant increase in net income to €2.6 million from €31,000 in 2002, with a 37 per cent total revenue increase in its year end financial results.
For the fourth quarter the company's total revenues increased by 35 per cent, its product revenues increased by 26 per cent and its gross profit from product sales improved by 34 per cent, compared to the fourth quarter of 2002.
A year ago, the company announced an agreement with Gillette to complete development and commercialise a patented home-use, light-based hair removal device for women.
"Our reputation for leading-edge technology and product reliability has resulted in increased market share for Palomar over the past two years in the expanding market for light-based cosmetic procedures, a trend we think will continue in 2004," said Caruso.
Gross profit from product sales increased to €14.6 million (58 per cent of revenues), up from €9 million (50 per cent of revenues) in the year-earlier period.
Palomar pioneered the optical hair removal field, when, in 1996, it introduced the first high-powered laser hair removal system. Since then, many of the major advances in light-based hair removal have been based on Palomar technology.
Palomar announced that it will continue to fund research and development and plans to extend its range of applications in upcoming quarters.