(Alliance News) - Surgical Innovations Group PLC on Wednesday said that revenue had grown significantly in its half year report, driven by strong demand in the UK and Asia.
Shares in the Leeds, England-based surgical and medical instrument manufacturer-based were trading 9.4% higher at 1.75 pence each in London on Wednesday.
The company reported a pretax loss of GBP111,000 in the six months to June 30, narrowed from GBP223,000 last year.
Revenue increased 28% to GBP5.4 million from GBP4.2 million the year before. The company reported that strong sales in the UK and Asia Pacific region had provided significant revenue growth in the first half, earning GBP3.2 million, a 39% increase on the year before. At a company-wide level, revenue "exceeded management expectations" and is largely recovering towards pre-pandemic levels, the company said.
In the UK, Surgical Innovation's Resposable product, which attempts to reduce clinician's reliance on disposable tools, is "well-placed" for further growth as the NHS works towards its Net Zero commitment.
Surgical Innovations also reported that gross margins stood at 45%, up from 42% last year despite increased inflationary pressures.
The company expects to have further opportunities as the "well-documented increasing backlogs" in UK hospitals are addressed.
The company highlighted planned investment in new product development to facilitate product launches in the second half of the financial year.
Chair Nigel Rogers said: "The momentum in UK and Japan is indicative of the successful investment in sales and marketing which has been driving our sustainability initiatives. With further growth opportunities in the second half of the year as major markets continue to recover, and the launch of new products into new and existing key markets, the prospects are certainly encouraging."
By Chris Dorrell; chrisdorrell@alliancenews.com
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