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NxStage Reports Third Quarter 2008 Financial Results
Date:11/3/2008

ively, recorded in other income. Excluding these items, the 2008 third quarter net loss would have improved when compared with the 2008 second quarter net loss.

For the third quarter of 2008, the Company had an Adjusted EBITDA loss, adjusted for stock-based compensation, deferred revenue recognized and the accounting impact of the private equity financing recorded as other income (expense), of $7.3 million, compared to a loss of $7.7 million in the second quarter of 2008, and a loss of $13.8 million in the third quarter of 2007 (see the exhibits for a reconciliation of this non-GAAP measure).

Cash and cash equivalents as of September 30, 2008 were $32.9 million. The Company believes based on current projections that it has the required resources to fund projected operating requirements, which assumes that it is able to restructure the repayment schedule on its GE credit facility.

As of the end of the third quarter of 2008, NxStage had increased the number of centers with greater than 10 patients to a total of 76, representing a 13% increase when compared with the second quarter of 2008 and a 61% increase when compared with the third quarter of 2007.

"This has been a strong quarter for NxStage, and we are pleased to see our strategic initiatives continue to drive meaningful progress and greater operating efficiency quarter over quarter in all three of our markets," stated Jeffrey H. Burbank, President and Chief Executive Officer of NxStage Medical. "Based on my regular interactions with patients, providers and payors, there is no question in my mind that our products effectively address the needs of dialysis providers in each of the home, critical care and in-center markets."

Recent Highlights

-- In October 2008, NxStage elected Earl Lewis, Chairman, President and CEO of FLIR Systems, Inc., to its Board of Directors.

-- In October 2008, NxStage reported positive interim quality of life results from its landmark FREEDOM
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SOURCE NxStage Medical, Inc.
Copyright©2008 PR Newswire.
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