TIDMLID
RNS Number : 9347E
LiDCO Group Plc
15 February 2018
LiDCO Group Plc
("LiDCO" or the "Company")
Trading update and notice of results
LiDCO Group Plc (AIM: LID), the hemodynamic monitoring company,
provides the following trading update for the full year ended 31
January 2018.
LiDCO product revenues for the year are expected to be up 2% to
GBP6.87m (2017: GBP6.76m) with total revenues (including third
party products) expected to be up by 1% to GBP8.27m (2017:
GBP8.21m). Excluding China, where as previously announced no sales
were recorded in the year as regulatory approval is sought for a
fundamental accessory, LiDCO product revenues were up 9% to
GBP6.87m (2017: GBP6:27m).
During the year the Company launched its latest monitor,
LiDCOunity v2, with the new highly differentiated High Usage
Programme (HUP) business model. HUP is building momentum after its
launch in July 2017, achieving a global installed base of 96
monitors with total annualised revenue of GBP0.73m. As of 31
January 2018, LiDCO had GBP0.60m of deferred revenues on the
balance sheet arising from the HUP. Overall the new LiDCOunity v2
contributed to the strong demand for monitors with 315 units being
sold or placed in the year (2017: 227 units).
In the UK, LiDCO had another strong performance, building on its
market leading position. LiDCO product revenues are expected to be
up 9% to GBP4.14m (2017: GBP3.79m). The growth was driven by strong
monitor sales, with expected capital revenues of GBP0.72m (2017:
GBP0.36m), up 100% compared to the prior year, with the launch of
the Company's new monitor LiDCOunity v2 achieving a higher selling
price. As announced separately today, LiDCO has converted its
largest UK customer to its High Use Programme (HUP) business model.
Sales of 3(rd) party products in the UK declined 3% to GBP1.40m
(2017: GBP1.45m) as a result of the current pricing pressure
climate of the NHS.
Following the expansion of its sales team in the US, LiDCO's
revenues for the year are expected to be up 15% to GBP1.36m (2017:
GBP1.18m). The Company is pleased to have announced that it has won
a second significant multi-year HUP customer bringing the number of
HUP monitors in the USA to 58. When annualised these HUP recurring
revenues now represent in excess of $0.6m. Although the selling
cycle remains quite long, the Board continues to be encouraged by
market feedback to its differentiated offering as it looks to take
share in this large and growing market by targeting the highest
users of advanced hemodynamic monitoring.
Overall revenues outside of the UK and US markets are expected
to have declined by 23% to GBP1.37m (2017: GBP1.79m) largely due to
not being able to sell products to its Chinese distributor whilst
the Company re-registers its product, as previously announced. The
key highlights in its distributor business were Japan and the
Middle East where the Company experienced strong revenue growth.
The Board expects that the appointment of Merit Medical on 17
January 2018 as the Company's distributor in Japan will boost sales
in this important market in 2018/19.
As expected, the year ended 31 January 2018 was a year of
investment for the Company as LiDCO expands its commercial
presence. As a consequence GBP1.67m of cash was invested and the
Board expects to report a loss for the year before tax and share
based payments. The Company remains debt free and year-end cash
balances were GBP3.23m (2017: GBP4.90m).
The Company intends to announce its final results to 31 January
2018 on 10 April 2018.
Commenting, Matt Sassone, Chief Executive Officer of LiDCO,
said: "Behind the headline numbers I am encouraged by the way our
expansion plan is developing. Excluding China, LiDCO sales grew 9%
and we start the new financial year with GBP0.7m of HUP revenues
contracted. We have a strong and growing pipeline of opportunities
to further drive growth in our key target markets.
"As the business continues to win HUP contracts, it will
transition towards multi-year license revenues, giving good
visibility alongside strong cash generation. I expect this to
greatly enhance the quality of the Company's earnings although
accounting for such contracts will have a short term impact on
revenue recognition as the income will typically be spread over the
term of the contract as opposed to monitor revenues being
recognised up front."
This announcement contains inside information as defined in
Article 7 of the Market Abuse Regulation No. 596/2014 ("MAR").
For further information, please contact:
LiDCO Group Plc www.lidco.com
Matt Sassone (CEO) Tel: +44 (0)20 7749 1500
Jill McGregor
finnCap Tel: +44 (0)20 7600 1658
Geoff Nash / Emily Watts
(Corporate Finance)
Stephen Norcross (Corporate
Broking)
Walbrook PR Ltd Tel: 020 7933 8780 or
lidco@walbrookpr.com
Paul McManus Mob: 07980 541 893
Lianne Cawthorne Mob: 07584 391 303
About LiDCO Group Plc (www.lidco.com)
LiDCO is a supplier of non-invasive and minimally invasive
hemodynamic equipment to hospitals used to monitor the amount of
blood flowing around the body and ensure that vital organs are
adequately oxygenated. LiDCO's products facilitate the application
of hemodynamic optimisation protocols for high risk patients in
both critical care units and in the operating theatre.
Increasingly clinical studies are showing that the optimisation
of patients' hemodynamic status in high risk patients produces
better outcomes and reduced hospital stay. LiDCO's computer-based
technology, originally developed at St Thomas' Hospital in London,
has been shown to significantly reduce morbidity and complications,
length of stay and overall costs associated with major surgery.
Key Products:
LiDCOunity: a hemodynamic monitor that combines the full suite
of LiDCO technology (non-invasive, minimally invasive and
calibrated technologies) into one platform. Designed to have the
flexibility to adapt to a patient's changing acuity, the product
enables clinicians to seamlessly transition between non-invasive,
minimally invasive and calibrated hemodynamic monitoring. Version 2
of this software is only available on a new slim widescreen monitor
and includes the optional high usage program software in selected
markets.
LiDCOplus: a computer-based platform monitor used in the
Intensive Care Unit for real-time continuous display of hemodynamic
parameters including cardiac output, oxygen delivery and
fluid-volume responsiveness.
LiDCOrapid: a cardiac output monitor designed specifically for
use in the operating theatre for fluid and drug management. The
monitor enables anaesthetists to receive accurate and immediate
feedback on the patient's fluid and hemodynamic status - a key
measure of overall well-being before, during and after surgery. The
LiDCOrapid provides:
-- early and rapid warning of hemodynamic change to aid choice
of therapeutic route: fluid or drug
-- quantification of hemodynamic response guidance on effective
delivery of fluids to ensure the right amount at the right time
The software incorporated into LiDCOrapid allows the LiDCOrapid
monitor to co-display Medtronic's level of consciousness parameter
('BIS(TM') )* and add the convenience of CNSystem's continuous
non-invasive blood pressure monitoring ('CNAP')**. This addresses a
growing requirement for non-invasive monitoring solutions that are
more comprehensive and can effectively replace multiple single
parameter monitors.
LiDCOview: an easy-to-use graphical display of historical
LiDCOplus and LiDCOrapid hemodynamic data.
*BIS(TM) and Bispectral Index are trademarks of Medtronic
registered in the US and foreign countries.
**CNAP(TM) is a trademark of CNSystems Medizintechnik AG.
LiDCO monitors use single-patient disposables (sensors or
smartcards) which provide an ongoing revenue stream.
LiDCO Distribution Network:
LiDCO sells directly to hospitals in the UK and USA and through
a network of specialty critical care and anaesthesia distributors
in the rest of the world.
LiDCO's headquarters are in London and its shares are traded on
AIM.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCUSAKRWWAUAAR
(END) Dow Jones Newswires
February 15, 2018 02:01 ET (07:01 GMT)
Lidco (LSE:LID)
Historical Stock Chart
From Apr 2024 to May 2024
Lidco (LSE:LID)
Historical Stock Chart
From May 2023 to May 2024