TIDMTRX
RNS Number : 7382X
Tissue Regenix Group PLC
02 September 2020
Tissue Regenix Group plc
Unaudited Interim Results for the six months to 30 June 2020
Leeds, 2 September 2020 - Tissue Regenix Group (AIM:TRX)
("Tissue Regenix" or the "Group") the regenerative medical devices
company today announces its unaudited interim results for the six
months to 30 June 2020.
Financial highlights
-- Group revenues of GBP6.1m (H1 2019: GBP6.1m, at constant currency GBP6.2m)
-- Reduction in overhead cost base of GBP1.6m (GBP1.7m excluding
exceptionals) to GBP5.5m (H1 2019: GBP7.1m, at constant currency
GBP7.3m)
-- Significantly reduced Group EBITDA* loss of GBP2.1m (H1 2019:
GBP3.6m, at constant currency GBP3.7m)
-- Cash position of GBP13.7m (H1 2019: GBP10.1m) following
successful equity fundraise of GBP13.8m (net) completed in June
2020.
*EBITDA is a non-IFRS measure that the Group uses to assess its
performance. It is defined as earnings before interest, taxation,
depreciation and amortization.
Commercial highlights
-- Entered a collaboration with a top 10 global healthcare
company for white label manufacturing of a new soft tissue
orthopaedic product
-- Secured additional distribution agreements for Matrix OI,
DentalFix and AmnioWorks to diversify sales portfolio
-- Achieved CE mark certification for OrthoPure(R) XT.
Operational highlights
-- Successfully implemented initiatives to allow minimal
disruption to processing at the facility in San Antonio throughout
COVID-19, enabling the facility to remain fully operational.
Post balance sheet events
-- Phase one of the capacity expansion project commenced at the
US facility, expected to come on-stream in H1 2021
-- Announced relocation of UK facility to Garforth, Leeds as
part of the ongoing overhead cost saving initiatives
-- Entered into a UK distribution agreement with a specialty
supplier of orthopaedic and biologic products for OrthoPure(R)
XT.
Gareth Jones, interim Chief Executive Officer, Tissue Regenix
Group plc, commented: "The first half of 2020 presented a number of
challenges but, despite this, we achieved a number of milestones
which will strengthen our market positioning going forward.
Delivering revenues for the first half of the year comparable to
the same 2019 period demonstrates that, despite COVID-19 related
market disruption, demand for our products remains strong. The
recent fundraising has positioned us to capitalise on these
opportunities, in particular, enabling us to commence the US
facility capacity expansion project and to support our ongoing
working capital requirements. Moreover, the launch of new products,
in conjunction with an ever-increasing customer base, provides us
with greater access to new markets and opportunities in the
future.
Over the past year, we have focused on our programme to
streamline our supply chain and operations and to appropriately
size our overhead cost base. We have continued with this and
reduced our overhead spend by a further GBP1.7m (excluding
exceptionals) during the first half of the year. This, coupled with
an anticipated increase in revenue, is expected to drive the Group
towards its target of achieving a position of break-even.
Due to the ongoing uncertainty around the COVID-19 restrictions,
it remains difficult for the Board to provide forward looking
guidance however, I am pleased with the progress that the Company
continues to make and remain confident in the future prospects of
the business."
For more Information:
Tissue Regenix Group plc Tel: 0330 430 3073
Caitlin Pearson Head of Communications / 07920 272 441
------------------------------------------ --------------------
Stifel Nicolaus Europe Limited (Nominated Tel: 0207 710 7600
Adviser and Broker)
Ben Maddison / Alex Price
------------------------------------------ --------------------
About Tissue Regenix
Tissue Regenix is a leading medical devices company in the field
of regenerative medicine. Tissue Regenix was formed in 2006 when it
was spun-out from the University of Leeds, UK. The Company's
patented decellularisation ('dCELL(R) ') technology removes DNA and
other cellular material from animal and human soft tissue leaving
an acellular tissue scaffold which is not rejected by the patient's
body and can then be used to repair diseased or worn out body
parts. Current applications address many critical clinical needs
such as sports medicine, heart valve replacement and wound
care.
In November 2012 Tissue Regenix Group plc set up a subsidiary
company in the United States - 'Tissue Regenix Wound Care Inc.',
January 2016 saw the establishment of joint venture GBM-V, a multi-
tissue bank based in Rostock, Germany.
In August 2017 Tissue Regenix acquired CellRight Technologies(R)
, a biotech company that specializes in regenerative medicine and
is dedicated to the development of innovative osteoinductive and
wound care scaffolds that enhance healing opportunities of defects
created by trauma and disease. CellRight's human osteobiologics may
be used in spine, trauma, general orthopaedic, foot & ankle,
dental, and sports medicine surgical procedures.
Interim Non-Executive Chairman, Jonathan Glenn
Despite the unprecedented backdrop of the COVID-19 pandemic and
the additional challenges that this presented, during the first six
months of 2020 the Group achieved a number of operational and
commercial milestones and it is encouraging to see progress on a
number of fronts.
Throughout this period, where lockdown restrictions were in
place in both the US and Europe, our US facility remained fully
operational enabling us to continue to supply our customer base.
Although, the postponement of elective surgical procedures has been
felt across the industry, encouragingly we have delivered revenues
for the first half of the year which are in line with the
comparative 2019 period.
We remain focused on our programme to rationalise the Company's
cost base, which was initiated in 2019. This process has continued
into 2020, including the plan to relocate the UK head office and
manufacturing facility and, in conjunction with careful management
of costs across the Group, we have continued to make significant
reductions to our overall cash requirements and overhead base.
In June 2020, the Group secured GBP13.8m (net) of funding via an
equity placing to support the Group's expansion plans and working
capital requirements. Capacity constraints have historically
restricted the ability of the business to meet customer demand and
these additional funds will enable the Group to implement a
capacity expansion programme at its US facility. I am happy to
report that the first phase of this commenced in July 2020 and it
is anticipated to come on-stream in H1 2021. I would like to take
this opportunity to thank both our existing and new shareholders
who have supported us in the fundraise.
Outlook
Having secured the required financing to support the capacity
expansion project and working capital requirements, the business is
focussed on delivering the additional production capabilities in a
timely manner and, once operational, we will be positioned to
achieve future growth potential as markets stabilise following the
COVID-19 pandemic.
Given the uncertainty around the current COVID-19 situation, the
potential for a second wave and the time it will take for postponed
surgeries to be undertaken, it is difficult for the Board to
provide forward looking guidance for the second half of 2020 and
beyond. However, in spite of this uncertainty, the Board is
encouraged by the progress we have made in the first half of the
year, with the start of the expansion programme at the San Antonio
facility, attaining the CE mark certification for OrthoPure(R) XT
and a reduction in the overhead base whilst maintaining revenues,
and as such remain confident about the future prospects for the
Group.
Business Review, Gareth Jones, Interim Chief Executive
Officer
Revenue
During H1 the Group continued to make operational and commercial
progress, despite the backdrop of COVID-19, ending the first half
with year-on-year sales maintained in-line with the first six
months of the prior year at GBP6.1m (H1 2019: GBP6.1m).
The BioRinse portfolio, under the Orthopaedics and Dental
division, returned sales of GBP3.4m (H1 2019: GBP3.0m) a GBP0.4m
year-on-year increase (GBP0.3m at constant currency), despite the
challenging market conditions; highlighting the demand for our
product portfolio and its potential once more normalised market
conditions return.
DermaPure sales, under the BioSurgery division, were impacted by
the postponement of elective surgical procedures in the US as a
result of the COVID-19 pandemic. This was primarily related to
urogynecology procedures and the North East region of the US which
was particularly badly affected during H1. Overall sales for the
first 6 months of the year were down by GBP0.3m year-on-year to
GBP1.7m (H1 2019: GBP2.0m, GBP2.0.m at constant currency).
In Germany, our business was impacted by the lockdown
restrictions imposed early in the pandemic. Although a more
normalised level of business has now returned, the impact of this
lockdown was still felt with sales of GBP1.0m (H1 2019: GBP1.1m)
for the first six months of the year.
During this period, the business was also able to secure a
number of additional customers and as restrictions implemented as
part of the pandemic are relaxed, in conjunction with enhanced
operational capabilities coming on stream, the Group will be well
placed to capitalise on these opportunities.
Commercial development
During the first half of the year, the Group achieved a number
of commercial milestones which will support our strategic growth
drivers and provide the basis for additional opportunities in the
future.
In May 2020, we announced a strategic collaboration with a top
10 global healthcare company for white label manufacturing of a new
soft tissue orthopaedic product, which was the result of an R&D
collaboration between the two companies. We have seen a positive
market response to this launch and anticipate that this product
line will make a material contribution to our top line revenue
growth across the next two years.
In addition, we received the CE mark for OrthoPure(R) XT in June
2020, and in August 2020 we announced our first distribution
agreement with a specialist supplier of orthopaedic and biologic
products covering the UK market. The first modest order has been
received and we expect that the initial delivery will take place
during Q4 2020.
Operations
Throughout the first six months of the year we were able to
fully maintain operations at our San Antonio facility. During this
time, we were also granted US Government backed loans of c.$1m to
support the employee payroll, healthcare, utilities and rent
payments in the US. As these funds were used in the required
manner, under the terms of the loans, we anticipate that the loans
will be forgiven and will not require repayment. In the UK,
operations and technical staff were furloughed for a period in line
with the UK Government advice. With the UK business gearing up its
operational capabilities to ensure the supply of OrthoPure(R) XT
and recommencing various clinical programmes, all furloughed staff
were re-engaged in July.
Having identified the need to expand our processing facility in
San Antonio, TX, to meet the increasing demand for our products, a
second shift was implemented in the current facility during 2019
and we began to see the benefits of this during Q4 2019 and into H1
2020. Furthermore, in August 2019, additional operational
capabilities were secured via a lease with an option to buy on a
21,000 sq. ft facility adjacent to the current plot. Proceeds from
the GBP13.8m equity fundraise completed in June 2020 will enable
this facility to be fitted out, with the first phase of the
expansion programme initiated in July 2020.
This capacity expansion project will be undertaken in phases in
order to deploy the investment capital in the most efficient manner
and bring the new capacity onstream in a staged process to meet the
increasing demand. Phase one will involve moving freezer and
distribution functions into the new facility which will in turn
allow space for additional sterile packaging clean rooms to be
installed in the existing facility. Phase two of the project will
provide a further 10 additional clean rooms in the new
facility.
Funding and cost savings
In June 2020, the Group raised net funds of GBP13.8m through an
accelerated book build and PrimaryBid offering. This capital will
be used to fund the required investment programme and to provide
working capital to support the business.
During 2019, the business commenced a review of its cost base
with a view to appropriately sizing its overhead expenditure whilst
continuing to support operational and commercial activities. This
has continued into 2020 the latest results of which are considered
in the post balance sheet events section. Overall, in the first six
months of the year this programme has contributed to the business
being able to report a reduction in overheads, excluding
exceptional costs, of GBP1.7m in comparison to the first six months
of 2019.
Financial Overview
Revenue
During the first six months of the year revenue remained in line
with the first six months of 2019 at GBP6.1m (H1 2019: GBP6.1m,
GBP6.2m on a constant currency basis).
The Orthopaedic and Dental division recorded an increase in
revenues at GBP3.4m (H1 2019: GBP3.0m, GBP3.1m at constant
currency), as the delays in elective surgeries caused by the
pandemic, particularly in the dental sector, were more than offset
by demand elsewhere. In contrast, the BioSurgery division recorded
a decrease in revenues to GBP1.7m (H1 2019: GBP2.0m, GBP2.0m at
constant currency) also caused by the impact of the COVID-19
pandemic on elective surgeries, particularly in urogynaecology and
the North East region of the USA. The impact of the pandemic also
affected output in Germany where revenues were reported at GBP1.0m
(H1 2019: GBP1.1m, GBP1.1m at constant currency).
Margin
Margin has increased slightly for the period from 47% to 48%
largely due to product mix as BioRinse products from the
Orthopaedics and Dental division made up a greater proportion of
revenues.
Loss for the year
Operating loss in the six months ended 30 June 2020 reduced to
GBP2.5m (H1 2019: GBP4.5m). The cost restructuring programme
commenced at the end of 2019 reduced administrative expenses by
GBP1.7m (excluding exceptionals) during the first six months
compared with the comparable period in 2019. Whilst a small part of
the reduction was COVID-19 related given travel restrictions and
furloughed staff, the majority of these reductions are permanent
and anticipated to continue into the second half of the year.
R&D tax credits of GBP0.2m (H1 2019: GBP0.4m) represent the
estimated tax credit receivable, together with a premium of 40%, on
development costs. The anticipated decrease is expected to arise as
more resources are directed away from the development phase and the
business looks to commercialise more products.
Exceptional costs of GBP0.1m for 2020 represent the costs
incurred in relation to the cyber security incident in the USA.
Cash position
Cash position for the Group at 30 June 2020 was GBP13.7m (H1
2018: GBP10.1m). The Group raised net proceeds of GBP13.8m through
a placing in June 2020.
Post balance sheet events
Phase one of the capacity expansion project was commenced in
July 2020 and it is expected to take approximately six months to
complete. We expect to see the first uplift to the output in
processing from this investment in Q2 2021, following the
three-month lead time for the osteoinductive testing required for
the BioRinse products.
In August 2020, we announced that the UK head office and
manufacturing facility will be relocated to Garforth, Leeds in
November 2020 from the current site in Swillington, Leeds. This
decision was made as part of the ongoing initiatives to
appropriately size the overhead cost base. This move is expected to
reduce the Group's overhead costs by over GBP0.4m on an annualised
basis from 2021. As part of the relocation programme, the Group
will outsource elements of the production cycle, including testing
and packaging. It will retain its processing functions, including
the processing of OrthoPure(R) XT, enabling the Group to meet its
initial order due in Q4 2020, and future demand following the
agreement signed in August 2020 for UK distribution.
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(UNAUDITED)
FOR THE SIX MONTHS TO 30 JUNE 2020
6 months 6 months Year
30 Jun 2020 30 Jun 2019 31 Dec
2019
Notes (Unaudited) (Unaudited) Audited
GBP'000 GBP'000 GBP'000
---------------------------------------- ------- ------------- ------------- ----------
Revenue 2 6,085 6,069 13,033
Cost of sales (3,150) (3,225) (7,014)
---------------------------------------- ------- ------------- ------------- ----------
Gross Profit 2,935 2,844 6,019
Administrative expenses before
exceptional items (5,355) (7,024) (13,198)
Exceptional items (106) (40) (21)
Total administrative expenses (5,461) (7,064) (13,219)
Operating loss (2,526) (4,220) (7,200)
Finance income 3 11 17
Finance Charges (173) (183) (477)
---------------------------------------- ------- ------------- ------------- ----------
Loss before tax (2,696) (4,392) (7,660)
Taxation 3 297 311 554
---------------------------------------- ------- ------------- ------------- ----------
Loss after tax (2,399) (4,081) (7,106)
---------------------------------------- ------- ------------- ------------- ----------
Attributable to:
Equity holders of the parent (2,345) (4,055) (6,973)
Non-controlling (54) (26) (133)
---------------------------------------- ------- ------------- ------------- ----------
(2,399) (4,081) (7,106)
---------------------------------------- ------- ------------- ------------- ----------
Other comprehensive income/(expense):
Foreign currency translation
differences - foreign operations 444 122 (724)
---------------------------------------- ------- ------------- ------------- ----------
TOTAL COMPREHENSIVE EXPENSE
FOR THE YEAR (1,955) (3,959) (7,830)
---------------------------------------- ------- ------------- ------------- ----------
Attributable to:
Equity holders of the parent (1,901) (3,933) (7,697)
Non-controlling interests (54) (26) (133)
(1,955) (3,959) (7,830)
Loss per share
Basic and diluted on loss attributable
to equity holders of the parent 4 (0.16p) (0.35p) (0.60)p
---------------------------------------- ------- ------------- ------------- ----------
The loss for the period arises from the Group's continuing
operations.
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(UNAUDITED)
FOR THE SIX MONTHS TO 30 JUNE 2020
Attributable to equity holders
of parent
---------------------------------------------------------
Reserve Share
Reverse For Own Based Retained Non-controlling Total
Share Share Merger Acquisition Shares Payment Earnings Interests Equity
Capital Premium Reserve Reserve GBP000 Reserve Deficit Total GBP000 GBP000
GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
At 31 December
2018 5,859 86,398 10,884 (7,148) (831) 1,129 (63,239) 33,052 (482) 32,570
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss for
the period - - - - - - (4,055) (4,055) (26) (4,081)
Other
comprehensive
expense - - - - - - 122 122 - 122
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss and
total
comprehensive
expense for
the period - - - - - - (3.933) (3,933) (26) (3,959)
Share based
payment
expense - - - - - 18 - 18 - 18
At 30 June
2019 5,859 86,398 10,884 (7,148) (831) 1,147 (67,172) 29,137 (508) 28,629
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss for
the period - - - - - - (2,918) (2,918) (107) (3,025)
Other
comprehensive
expense - - - - - - (846) (846) - (846)
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss and
total
comprehensive
expense for
the period - - - - - - (3,764) (3,764) (107) (3,871)
Exercise
of share
options - 1 - - - - - 1 - 1
Share based
payment
expense - - - - - (164) - (164) - (164)
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
At 31 December
2019 5,859 86,399 10,884 (7,148) (831) 983 (70,936) 25,210 (615) 24,595
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss for
the period - - - - - - (2,345) (2,345) (54) (2,399)
Other
comprehensive
expense - - - - - - 444 444 - 444
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
Loss and
total
comprehensive
expense for
the period - - - - - - (1,901) (1,901) (54) (1,955)
Issue of
shares 5,860 8,790 - - - - - 14,650 - 14,650
Expenses
on issue
of shares (899) - (899) - (899)
Exercise
of share
options 1 - - - - - - 1 - 1
Share based
payment
expense - - - - - 18 - 18 - 18
At 30 June
2020 11,720 94,290 10,884 (7,148) (831) 1,001 (72,837) 37,079 (669) 36.410
--------------- --------- --------- --------- ------------- --------- -------- ---------- -------- ----------------- --------
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(UNAUDITED)
AS AT 30 JUNE 2020
30 June 30 June 31 Dec
Notes 2020 2019 2019
GBP'000 GBP'000 GBP'000
------------------------------- -------- --------- --------- ---------
Non-current assets
Property, plant and equipment 2,456 2,917 2,357
Intangible assets 17,865 19,614 17,999
------------------------------- -------- --------- --------- ---------
Total non-current assets 20,321 22,531 20,356
------------------------------- -------- --------- --------- ---------
Current assets
Inventory 6,288 2,738 4,185
Trade and other receivables 2,628 3,041 2,539
Corporation tax receivable 684 900 1,035
Cash and cash equivalent 13,667 10,076 2,380
------------------------------- -------- --------- --------- ---------
Total current assets 23,267 16,755 10,139
------------------------------- -------- --------- --------- ---------
Total assets 43,588 39,286 30,495
------------------------------- -------- --------- --------- ---------
Non-current liabilities
Borrowings (2,222) (5,790) (2,115)
Deferred tax (714) (755) (670)
------------------------------- -------- --------- --------- ---------
Total non-current liabilities (2,936) (6,545) (2,785)
------------------------------- -------- --------- --------- ---------
Current liabilities
Borrowings (850) - (171)
Trade and other payables (3,392) (4,112) (2,944)
------------------------------- -------- --------- --------- ---------
Total current liabilities (4,242) (4,112) (3,115)
------------------------------- -------- --------- --------- ---------
Total liabilities (7,178) (10,657) (5,900)
------------------------------- -------- --------- --------- ---------
Net assets 36,410 28,629 24,595
------------------------------- -------- --------- --------- ---------
Equity
Share capital 5 11,720 5,859 5,859
Share premium 5 94,290 86,398 86,399
Merger Reserve 5 10,884 10,884 10,884
Reverse acquisition reserve 5 (7,148) (7,148) (7,148)
Reserve for own shares (831) (831) (831)
Share based payment reserve 1,001 1,147 983
Retained earnings deficit (72,837) (67,172) (70,936)
------------------------------- -------- --------- --------- ---------
Equity attributable to equity
holders of parent 37,079 29,137 25,210
Non-controlling interests (669) (508) (615)
------------------------------- -------- --------- --------- ---------
Total equity 36,410 28,629 24,595
------------------------------- -------- --------- --------- ---------
Approved by the Board and authorised for issue on 2 September
2020
Gareth Jones (Interim Chief Executive Officer)
CONDENSED CONSOLIDATED CASH FLOW STATEMENT (UNAUDITED)
FOR THE SIX MONTHSED 30 JUNE 2020
6 months 6 months 12 months
to to to
30 June 30 June 31 Dec 2019
2020 2019 GBP'000
GBP'000 GBP'000
-------------------------------------------- ---------- ---------- -------------
Operating Activities
Loss before Tax (2,696) (4,392) (7,660)
Adjustment for:
Depreciation of property, plant &
equipment 101 273 476
Amortisation of intangible assets 319 282 570
Impairment of intangible and property,
plant and equipment - - 1,311
Share based payment 18 18 (146)
Interest receivable (3) (11) (17)
Interest payable 173 194 477
-------------------------------------------- ---------- ---------- -------------
Operating cash outflow (2,088) (3,636) (4,989)
-------------------------------------------- ---------- ---------- -------------
(Increase) in inventory (2,103) (408) (1,855)
(Increase)/decrease in trade & other
receivables (90) 258 1,076
Increase/(decrease) in trade & other
payables 665 (466) (1,567)
-------------------------------------------- ---------- ---------- -------------
Cash outflows from operations (3,616) (4,252) (7,335)
-------------------------------------------- ---------- ---------- -------------
Research and Development Tax Credits
received 649 653 653
-------------------------------------------- ---------- ---------- -------------
Net cash outflow from operations (2,967) (3,599) (6,682)
-------------------------------------------- ---------- ---------- -------------
Investing activities
Interest received 3 11 17
Purchase of property, plant & equipment (53) (366) (438)
Capitalised development expenditure - - (213)
Net cash outflow from investing activities (50) (355) (634)
-------------------------------------------- ---------- ---------- -------------
Financing activities
Interest paid (173) - (384)
Proceeds from issue of share capital 13,752 - -
Proceeds from exercised share options - - 1
Proceeds from new loans 850 6,114 6,479
Repayment of loans (237) - (4,193)
Net cash inflow from financing activities 14,192 6,114 1,903
-------------------------------------------- ---------- ---------- -------------
Increase/(decrease) in cash and cash
equivalents 11,175 2,160 (5,413)
Foreign exchange translation movement 112 100 (23)
Cash and cash equivalents at start
of period 2,380 7,816 7,816
-------------------------------------------- ---------- ---------- -------------
Cash and cash equivalents at end of
period 13,667 10,076 2,380
-------------------------------------------- ---------- ---------- -------------
NOTES TO THE CONDENSED FINANCIAL STATEMENTS (UNAUDITED)
FOR THE SIX MONTHSED 30 JUNE 2020
1. Basis of preparation
The unaudited condensed consolidated interim financial
information does not constitute statutory accounts within the
meaning of Section 434 of the Companies Act 2006. The interim
financial statements, which are unaudited and have not been
reviewed by the Company's auditors, have been prepared in
accordance with the policies set out in the 2019 Annual Report and
Accounts.
The comparative figures for the year ended 31 December 2019 do
not constitute full financial statements and have been abridged
from the full accounts for the year ended on that date, on which
the auditors gave an unqualified report, but did contain an
emphasis of matter paragraph in respect of the Group's ability to
continue as a going concern due to the fundraise being conditional
on shareholder approval. They did not contain any statement under
Section 498 of the Companies Act 2006. The 2019 accounts have been
delivered to the Registrar of Companies. The Company has chosen not
to adopt IAS 34 'Interim Financial Statements'.
2. Segmental reporting
The following table provides disclosure of the Group's revenue
by geographical market based on location of the customer:
6 months 6 months 12 months
to to to
Notes 30 June 30 June 31 Dec
2020 2019 2019
GBP'000 GBP'000 GBP'000
--------------- --------- --------- --------- ----------
USA 5,050 4,961 10,679
Rest of world 1,035 1,108 2,354
-------------------------- --------- --------- ----------
6,085 6,069 13,033
6 months to BioSurgery Orthopaedics Cardiac GBM-V Central Total
30 June 2020 & Dental
------------------
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
------------------ ----------- ------------- -------- -------- -------- --------
Revenue 1,710 3,418 - 957 - 6,085
Cost of sales (1,021) (1,569) - (560) - (3,150)
------------------ ----------- ------------- -------- -------- -------- --------
Gross Profit 689 1,849 - 397 - 2,935
Administrative
costs (1,417) (2,112) (164) (320) (1,342) (5,355)
Exceptional
costs (22) (84) - - - (106)
------------------ ----------- ------------- -------- -------- -------- --------
Operating
profit/(loss) (750) (347) (164) 77 (1,342) (2,526)
Finance income - - - - 3 3
Finance charges - - - - (173) (173)
------------------ ----------- ------------- -------- -------- -------- --------
Profit/(loss)
before taxation (750) (347) (164) 77 (1,512) (2,696)
Taxation 27 163 59 - 48 297
------------------ ----------- ------------- -------- -------- -------- --------
Profit/(loss)
for the period (723) (184) (105) 77 (1,464) (2,399)
------------------ ----------- ------------- -------- -------- -------- --------
6 months to BioSurgery Orthopaedics Cardiac GBM-V Central Total
30 June 2019 & Dental
------------------
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
------------------ ----------- ------------- -------- -------- -------- --------
Revenue 1,963 3,049 - 1,057 - 6,069
Cost of sales (1,095) (1,430) - (700) - (3,225)
------------------ ----------- ------------- -------- -------- -------- --------
Gross Profit 868 1,619 - 357 - 2,844
Administrative
costs (2,018) (2,319) (193) (289) (2,205) (7,024)
Exceptional
costs - - - (40) (40)
------------------ ----------- ------------- -------- -------- -------- --------
Operating
profit/(loss) (1,150) (700) (193) 68 (2,245) (4,220)
Finance income - - - - 11 11
Finance charges - - - - (183) (183)
------------------ ----------- ------------- -------- -------- -------- --------
Profit/(loss)
before taxation (1,150) (700) (193) 68 (2,417) (4,392)
Taxation 80 191 40 - - 311
------------------ ----------- ------------- -------- -------- -------- --------
Profit/(loss)
for the period (1,070) (509) (153) 68 (2,417) (4,081)
------------------ ----------- ------------- -------- -------- -------- --------
12 months BioSurgery Orthopaedics Cardiac GBM-V Central Total
to 31 December & Dental
2019
------------------
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
------------------ ----------- ------------- -------- -------- -------- ---------
Revenue 4,233 6,724 - 2,076 - 13,033
Cost of sales (2,535) (3,076) - (1,403) - (7,014)
------------------ ----------- ------------- -------- -------- -------- ---------
Gross Profit 1,698 3,648 - 673 - 6,019
Administrative
costs (3,729) (4,553) (328) (663) (3,925) (13,198)
Exceptional
costs (1,124) 1,523 - (152) (268) (21)
------------------ ----------- ------------- -------- -------- -------- ---------
Operating
profit/(loss) (3,155) 618 (328) (142) (4,193) (7,200)
Finance income - - - - 17 17
Finance charges - - - - (477) (477)
------------------ ----------- ------------- -------- -------- -------- ---------
Profit/(loss)
before taxation (3,155) 618 (328) (142) (4,653) (7,660)
Taxation 159 283 80 - 32 554
------------------ ----------- ------------- -------- -------- -------- ---------
Profit/(loss)
for the period (2,996) 901 (248) (142) (4,621) (7,106)
------------------ ----------- ------------- -------- -------- -------- ---------
3. Taxation
6 months 6 months 12 months
to to to
30 June 30 June 31 Dec 2019
2020 2019 GBP'000
GBP'000 GBP'000
---------------------------------- --------- --------- -------------
Current Tax:
UK corporation tax credit
on research and development
costs in the period (249) (353) (488)
US corporation tax - 42 29
(249) (311) (459)
Deferred tax:
Origination and reversal
of temporary timing differences (48) - (95)
----------------------------------- --------- --------- -------------
Tax credit on loss on ordinary
activities (297) (311) (554)
----------------------------------- --------- --------- -------------
The Group has accumulated losses available to carry forward
against future trading profits.
4. Loss per share (basic and diluted)
Basic loss per share is calculated by dividing the loss
attributable to equity holders of the parent by the weighted
average number of ordinary shares in issue during the period
excluding own shares held jointly by the Tissue Regenix Employee
Share Trust and certain employees. Diluted loss per share is
calculated by adjusting the weighted average number of ordinary
shares in issue during the period to assume conversion of all
dilutive potential ordinary shares.
6 months 6 months 12 months
to to to
30 June 30 June 31 Dec
2020 2019 2019
GBP'000 GBP'000 GBP'000
---------------------------------- ---------------- ---------------- ----------------
Total loss attributable to
the equity holders of the
parent (2,345) (4,055) (6,973)
----------------------------------- ---------------- ---------------- ----------------
No. No. No.
---------------------------------- ---------------- ---------------- ----------------
Weighted average number of
ordinary shares in issue during
the period 1,493,073,354 1,171,534,448 1,171,867,216
----------------------------------- ---------------- ---------------- ----------------
Loss per share
Basic and diluted on loss
for the period (0.16)p (0.35)p (0.60)p
----------------------------------- ---------------- ---------------- ----------------
The Company has issued employees options over 10,419,817
ordinary shares and there are 16,112,800 jointly owned shares which
are potentially dilutive. There is, however, no dilutive effect of
these issued options as there is a loss for each of the periods
concerned.
5. Share capital
30 June 30 June 31 Dec 2019
2020 2019 GBP'000
GBP'000 GBP'000
------------------------------ --------- --------- ------------
Ordinary shares of 0.1 pence 7,033 - -
Deferred shares of 0.4 pence 4,687 - -
Ordinary shares of 0.5 pence - 5,859 5,859
------------------------------- --------- --------- ------------
11,720 5,859 5,859
------------------------------ --------- --------- ------------
Movements on share capital during the period were as
follows:
Ordinary shares Deferred shares
Number GBP'000 Number GBP'000
------------------------ -------------- -------- -------------- --------
At 31 December 2018 1,171,730,823 5,859 - -
Issued on exercise of - - - -
share options
At 30 June 2019 1,171,730,823 5,859 - -
Issued on exercise of 240,499 - - -
share options
At 31 December 2019 1,171,971,322 5,859 - -
Sub-division of shares 1,171,971,322 (4,687) 1,171,971,322 4,687
Issued on exercise of
share options 1,388,222 1 - -
Issue of shares 5,859,626,212 5,860 - -
------------------------ -------------- -------- -------------- --------
At 30 June 2020 7,032,985,756 7,033 1,171,971,322 4,687
------------------------ -------------- -------- -------------- --------
On the 9(th) June a special resolution was passed at the general
meeting for the 1,171,971,322 Ordinary Shares of 0.5 pence each in
the issued share capital of the Company be sub-divided into
1,171,971,322 Ordinary Shares of 0.1 pence each in the capital of
the Company and 1,171,971,322 Deferred Shares of 0.4 pence each in
the capital of the Company.
On the 9(th) June the Company also completed a successful
fundraise of GBP14.6m gross.
6. Interim financial report
A copy of this interim report will be available on the Company's
website at www.tissueregenix.com.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
IR VFLFBBKLBBBV
(END) Dow Jones Newswires
September 02, 2020 02:03 ET (06:03 GMT)
Tissue Regenix (LSE:TRX)
Historical Stock Chart
From Jun 2024 to Jul 2024
Tissue Regenix (LSE:TRX)
Historical Stock Chart
From Jul 2023 to Jul 2024