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Cyberonics Reports Record Fiscal 2014 Second Quarter Results
Date:11/21/2013

income and income per diluted share," commented Dan Moore, Cyberonics' President and Chief Executive Officer.  "Our U.S. sales team provided another strong performance with a record quarter in both unit sales and net product sales.  Our estimates suggest that new patient additions in absolute numbers were the highest in eight years, while estimates of replacement growth rates are consistent with those provided in our annual guidance.

"International unit sales were well ahead of the second quarter of last year, with Europe continuing to deliver unit growth in double digits.  Foreign exchange movements favorably impacted sales for the second quarter of fiscal 2014 by approximately $200,000 compared to the second quarter of fiscal 2013.  On a constant currency basis, the increase in international sales was 8.5%, with a higher proportion of our international sales coming from distributors.

"Adjusted EBITDA for the second quarter was $26 million, and our balance sheet remains healthy, with available cash and short-term investments of $123 million.

"We are particularly pleased to have delivered on one of our key product development goals for fiscal 2014 with the submission this quarter of the AspireSR generator for regulatory approval in Europe.  This regulatory filing marks an important milestone for the entire product development team.  We continued to enroll patients in the first phase of our E-37 U.S. clinical study for the AspireSR generator and expect to complete enrollment by the end of the fiscal year.

"Significant and positive product development work continued on both the Relay™ and ProGuardian™ platform technologies during the quarter, and our product development investment is likely to be higher in the third quarter as we strive to bring these products to submission-ready status.  As previously advised, we completed enrollment in the ANTHEM-HF study assessing Autonomic Regulation The
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SOURCE Cyberonics, Inc.
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