The growth continues for Navamedic and the company reported revenues of NOK 47.2 million in the second quarter of 2019, up 4.4% from the same period in 2018. The demerger and separate listing of the Medtech division has been approved and is expected to be completed in the beginning of November 2019. The demerger is expected to provide a platform for accelerated growth in both Pharma and Medtech.
Navamedic reported revenues of NOK 47.2 million in the second quarter of 2019, up from NOK 45.2 million in the corresponding quarter last year. The gross margin was 34.4% (34.9% in Q2 2018). The EBITDA came in at NOK 0.9 million (MNOK 5.6 in Q2 2018), mainly due to project costs related to the demerger of Medtech and increased focus on business development.
In the first half of 2019, revenues increased to NOK 92.7 million (MNOK 87.8 in Q1 2018), while EBITDA came in at NOK 1.4 million (MNOK 2.7 in Q1 2018).
“We have initiated the implementation of the new growth strategy and see a great potential in leveraging Navamedic’s highly scalable pharma market access platform. In the second quarter of 2019, we continued to deliver growth driven by the strong momentum in our Obesity and Medical Nutrition product categories. We are looking forward to continue to drive growth in our current product portfolio, in addition to introducing new products and explore the arising M&A opportunities,” says Kathrine Gamborg Andreassen, CEO of Navamedic.
Gamborg Andreassen further adds; “As we continued to build on our core business to provide a highly efficient market access platform for pharma companies, we also proposed a key strategic decision to the Extraordinary General Meeting: demerger and separate listing of the Medtech division, to provide a platform for accelerated growth in both Pharma and Medtech.”
The Extraordinary General Meeting of Navamedic approved the plan for demerger and separate listing of the Medtech division. The Medtech divison is commercialising Sippi®, a new system for digital, wireless, urine measurement, in global markets. The proprietary Sippi® technology represents significant long -term revenue opportunities for Navamedic.
“Urine measurement is the last entrenchment of manual measurement at the intensive care units. Today, urine measurement is binding healthcare personnel’s time and resources, resulting in stress and mistakes, and ultimately hospital acquired infections. As the next generation digital, wireless, urine measurement and infection prevention system, Sippi® is approaching attractive markets with a unique product which meets a significant medical need. We see significant long -term global market opportunities for the proprietary Sippi® product family ahead,” says Gamborg Andreassen, CEO of Navamedic.
See 2H 2019 report at the company webpage http://www.navamedic.com/globalassets/investor-relations/presentations/quaterly-presentations/q2-2019-presentation.pdf