30th Jul 2019 11:49
(Alliance News) - Deltex Medical Group PLC on Tuesday said revenue fell slightly across all of its operating regions in the first half of 2019, but it expects the outturn for the year to be in line with market forecasts.
The monitoring and fluid management equipment provider said it has made a "good" start to the year and expects to report positive adjusted earnings before interest, taxes, depreciation, and amortisation for the six months to the end of June. Revenue, meanwhile, is expected to come in at GBP2.0 million, down slightly from GBP2.3 million last year.
Deltex said revenue in the US was GBP700,000 in the first half, lower than GBP800,000 generated a year prior. The re-based US operations now consistently contribute monthly positive Ebitda, the company noted.
International revenue was GBP600,000 for the period, also marginally lower than GBP7000,000 a year ago, held back by the impact of French distributor which continued to make inventory reductions due to the lower level of its probe sales made during the implementation of the previously announced Paris Hospital tender, Deltex explained.
In the UK, revenue slipped to GBP700,000 from GBP800,000 year-on-year, reflecting the continuing difficult trading conditions experienced with the NHS.
"I am pleased to see that both the profitability and cash generation reported in the final quarter of 2018, our strongest quarter, has continued in the first half of 2019," said Chair Nigel Keen.
"Trading for the first six months was in line with the board's expectations, and we expect the outturn for the full year to be in line with market expectations," added Keen.
Deltex shares were trading 4.8% higher on Tuesday in London at 1.52 pence each.
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