13th Jun 2018 11:12
LONDON (Alliance News) - Deltex Medical Group PLC said Wednesday that Chief Executive Officer Ewan Phillips has resigned from the medical technology firm with immediate effect as it also expects first-half revenue to disappoint.
Deltex said interim 2018 revenue is likely to be lower than the year prior. This was despite trading in April having "improved" since it warned in May that first quarter 2018 revenue had been "held back by expected timing differences on monitor sales".
For the six months ended June 2017, Deltex reported a pretax loss of GBP1.2 million on revenue of GBP2.9 million.
Phillips - CEO since 2009 - recently informed Chairman Nigel Keen that he felt it was time for a change in leadership at the firm ahead of its next stage of development.
"On behalf of the board, I want to thank Ewan Phillips for his work and dedication to Deltex over the last 17 years, the second half of these as chief executive," Keen said. "During this time the group has expanded significantly the evidence base which demonstrates the superior data generated for clinicians by Deltex's oesophageal doppler monitoring technology and shifted its focus from the UK to the US and other export markets."
"The fund raising earlier this year and the impressive scientific data from the recently published FEDORA study means that, notwithstanding a subdued first half, the group has a robust platform to build on to move to the next stage of its development," Keen added.
In January, Deltex raised GBP1.8 million from a share placing. A further GBP350,000 was raised through an offer to shareholders in February.
Phillips will be replaced by Andy Mears, currently the managing director of Deltex's main operating subsidiary. Mears joined Deltex in 1989 as an engineer and currently holds 547,586 shares in the firm as well as additional share options.
"I am delighted that Andy Mears has accepted the role of chief executive and I look forward to working closely with him to drive forwards the recently launched TrueVue platform from an improved financial footing", Keen added.
Shares in Deltex were 3.1% lower at 1.26 pence on Wednesday.
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