Tissue Regenix Group (AIM:TRX) the regenerative medical devices company today announces its unaudited interim results for the six months ended 30 June 2018.
- Group sales increased to £5.6m (H1 2017: £1.3m) +61% pro forma, driven by;
o DermaPure® sales grew by 73% on a reported basis, 96% in constant currency, to £1.5m (H1 2017: £0.9m)
o CellRight contribution of £3.2m under orthopaedics and dental, +46% pro forma
o Increased sales from GBM-V by 70% to £0.9m (H1 2017: £0.5m)
- Gross margin increased by 12.1 percentage points to 56%
- Significantly narrowed Group EBITDA loss for the period £3.5m (£5.1m)
- Cash balance at 30 June 2018 £12.2m (H1 2017: £3.6m)
- Overall cash outflow reduced £4.3m (H1 2017: £4.6m)
- Distribution agreements signed with Arthrex, inc. ARMS medical and Pennine Healthcare
- Human Tissue Authority licence granted for the import of the BioRinse portfolio into the UK
- DermaPure® manufacturing successfully transferred into CellRight facility ahead of schedule
- Additional GPO coverage for DermaPure, with an additional 3 year contract under Premier, Inc.
- Premier, Inc. 'Supplier Horizon Award' granted
- R&D portfolio review undertaken, and operational efficiency initiatives implemented
- Appointed Gareth Jones as Chief Financial Officer, to commence Q4 2018
- First commercial manufacture of SurgiPure XD for distribution into the US
Steve Couldwell, CEO, Tissue Regenix Group: "We have delivered a strong first half performance. I am pleased with the growing momentum across our business and we increased market penetration in our key clinical areas as a result of the good progress against our refined strategy. Central to our commercial success has been the strategic distribution agreements with Arthrex, for US distribution of the BioRinse portfolio, ARMS medical for the exclusive distribution of DermaPure in the Urogynaecology space and Pennine Healthcare, the first UK distribution agreement for our enlarged Group. We continue to increase our focus on commercial execution to drive the sales of both dCELL®, through DermaPure, and the growing demand for the BioRinse portfolio from direct and OEM customers.
We recently passed the first anniversary of the CellRight acquisition and have navigated through the integration process, successfully transferring the processing of DermaPure into the CellRight San Antonio facility, and leveraging the development, operational and commercial experience of the combined companies.
As the demand for our products continues to increase we are proactively reviewing our capacity capabilities to ensure that we can scale the business to meet future production requirements. We have identified a number of potential new commercial opportunities which we are actively pursuing and anticipate our current momentum will continue. We remain committed to our objective of being break-even in 2020. "