Strong revenue growth of 45% to
€7.12 millionFurther gross margin improvement of 4 pointsSteep
reduction in cash burn
Regulatory News:
EOS imaging (Euronext, FR0011191766 – EOSI) (Paris:EOSI),
pioneer in 2D/3D orthopedic medical imaging, is today announcing
its 2014 consolidated interim results for the six months ended June
30, 2014, as approved by the Board of Directors on August 29,
2014.
In millions of euros
First-half 2014
First-half 2013 Operating income
Revenue 7.12 4.91 Other income 1.00 0.66
Total
income 8.12 5.57 Operating
expenses Direct cost of sales -4.02 -2.97
Gross margin 3.09 1.95 as a % of
revenues 43.5% 39.6% Indirect cost
of production and services -1.28 -0.92 Research & development
-1.70 -0.98 Sales & marketing -2.90 -2.25 Regulatory expenses
-0.26 -0.27 Administrative costs -1.57 -1.14
Total operating expenses (excluding
direct cost of sales and share-based payments)
-7.71 -5.56 Share-based payments
-0.20 -0.56
Total operating expenses
-11.93 -9.08 Net operating
income/(loss) -3.81 -3.51 Net
income/(loss) -3.91 -3.22
The consolidated financial statements for the six months ended
June 30, 2014 include OneFit Medical for the first time following
its acquisition in November 2013.
- Sharp increase in revenues in the
first half of 2014: up 45% to €7.12 million
EOS imaging’s first-half 2014 revenues increased by 45% to
€7.12 million, driven by strong performance in the European
and Asian markets.
The Company sold 15 EOS® systems in the first half of 2014,
compared with 11 in the same period of the previous year. Average
selling prices were stable at approximately €391,000, despite
negative currency effects, driving a 36% increase in equipment
sales to €5.86 million. Sales of services, which were driven
by the increase in the installed base of EOS® systems under
contract, grew by 55% to €0.93 million. Sales of consumables
and related services by the OneFit Medical subsidiary totalled
€0.32 million.
EOS imaging also recorded €1.00 million in other income
consisting of public financing in support of its innovation
(research tax credit and subsidies).
- Further improvement in gross
margin
Positive trends in production parameters, product mix and
control of employee costs contributed to a 4-point improvement in
gross margin, which was 43.5% of revenues in the first half of
2014, up from 39.6% in the first half of the previous year.
Excluding currency effects, gross margin improved by an additional
percentage point to 44.5%.
- Tightly controlled increase in
operating expenses
Operating expenses, excluding the direct cost of sales and
share-based payments, were €7.71 million in the first half of
2014, up from €5.56 million in the first half of the previous
year, representing an increase of 39%. This compares favourably to
the 45% increase in revenue and 46% growth in operating income
during the first half of 2014.
The indirect cost of production and services increased by 39%
due to the strengthening of the Company’s support functions.
Research & development expenses were up 74% in the first half
of 2014 due to a non-recurring decline in capitalized costs and the
consolidation of OneFit Medical. At comparable structure, gross
research and development expenses incurred over the period
increased by 7%. The 29% increase in sales and marketing expenses
in the first half of 2014 reflected the expansion of the sales and
marketing team during the second half of 2013 and the beginning of
2014.
After the impact of share-based payments, the Company’s
operating loss was €3.81 million in the first half of 2014,
representing 53.5% of sales, compared with €3.51 million
representing 71.4% of sales in the first half of 2013.
The Company’s net loss for the six months ended June 30, 2014
was €3.91 million, compared with €3.22 million in the
same period of 2013.
The Company had 106 employees as of June 30, 2014, compared with
101 employees as of December 31, 2013.
- Steep reduction in cash
burn
EOS imaging’s net cash position at June 30, 2014 was
€13.7 million, compared with €15.7 million at December
31, 2013. Cash burn was limited to just €2.0 million,
reflecting a reduction in the working capital requirement and
control of investments.
Equity at June 30, 2014 was €26.3 million compared with
€30.1 million at December 31, 2013 as a result of the loss
posted for the first half of 2014.
Marie Meynadier, CEO of EOS imaging, commented: “During the
first six months of 2014, we actively continued to ramp up our
sales and marketing activities, especially in Asia, where we are
still in the early stages of establishing our business.
Concurrently, we have developed the hipEOS planning software in
conjunction with our oneFIT subsidiary, which is the first online
application for 3D planning for prosthetic surgery, and will
continue to develop other application modules facilitating
surgeon’s tasks and boosting our recurring revenue streams. In the
first half of the year we expanded gross margin by four percentage
points, which contributed to improved operating performance. Our
full-year results, which historically are led by a stronger second
half as compared to the first half, are likely to be supported by
the Asian and European market dynamics and a gradual return to a
more favourable capital spending environment in the United
States.”
- Half-year financial report
EOS imaging’s half-year financial report has been filed with the
Autorité des Marchés Financiers and can be downloaded from its web
site at www.eos-imaging.com by selecting Documentation, then
Financial reports from the Investors menu.
For more information, please visit www.eos-imaging.com.
About EOS imaging:EOS imaging designs, develops, and
markets EOS®, a revolutionary and patented medical imaging system,
based on technology that enabled George Charpak to win the Nobel
Prize for Physics. The Company is authorized to market the system
in 32 countries, including the United States (FDA), Japan, Canada,
Australia and the European Union (EU). Backed by an installed base
of more than 90 sites and by more than 500,000 imaging sessions,
EOS® benefits from worldwide recognition within the global medical
community. As of December 31, 2013 the Group posted 2013
consolidated revenue of €15.2 million and employed 106 people
including an R&D team of 38 engineers. The Group is based in
Paris and holds four subsidiaries in Besançon (France), Cambridge
(Massachusetts), in Montreal (Canada) and Frankfurt (Germany), and
offices in Singapore.
EOS imaging is listed on Compartment C of Euronext
ParisISIN: FR0011191766 – Ticker: EOSINext press
release: revenue for the 3rd quarter of 2014, on
October 22, 2014 (after market).
EOS imagingAnne Renevot, Tel.: +33 (0)1 55 25 61
24CFOinvestors@eos-imaging.comorNewCapInvestor Relations
& Strategic CommunicationsSophie Boulila / Pierre LaurentTel.:
+33 (0)1 44 71 94 91eosimaging@newcap.frorNewCap MediaPress
relationsAnnie-Florence Loyer, Tel.: +33 (0)1 44 71 00
12afloyer@newcap.fr
Eos (CE) (USOTC:EOSI)
Historical Stock Chart
From Mar 2024 to Apr 2024
Eos (CE) (USOTC:EOSI)
Historical Stock Chart
From Apr 2023 to Apr 2024