President and CEO Commentary:
Thomas Sandgaard, CEO commented: "I am very excited to report strong net income of $2.2 million in the third quarter which continues our trend of bottom line improvement. Our revenue grew to $6.8 million, an increase of 35% compared to the second quarter and 88% above the third quarter of last year. Our gross profit margin remained 80% versus 76% in Q3-2016. Our focus on processing orders more effectively to improve collections and cost controls to keep fixed expenses low is paying off in terms of positive cash flow and profitability.
We currently estimate our fourth quarter revenue to range between $7.0 and $7.5 million with Adjusted EBITDA between $3.0 and $3.5 million. Based on our fourth quarter estimate, our full year 2017 revenue is projected to range from $22.3 to $22.8 million compared to $13.3 million in 2016 and our Adjusted EBITDA for 2017 is projected to be range from $8.6 to $9.1 million compared to $1.3 million in 2016.
Our flagship product, the NexWave, is an important technology for physicians to prescribe in today's opioid crisis, allowing patients with debilitating pain access to prescription strength pain relief without side effects. In many cases, our NexWave device should be prescribed as a first-line-of-defense before prescribing medications such as opioids. I am dedicated to promote our technology in order to minimize addiction and other side effects from prescription opioids."
