Last checked at 11 Jan 2022 07:00
11 January 2022
Deltex Medical Group plc
("Deltex Medical" or the "Group")
Pre-close statement
Deltex Medical Group plc (AIM: DEMG), the global leader in oesophageal Doppler monitoring, today publishes a pre-close statement in relation to the year ended 31 December 2021.
Revenues for the year ended 31 December 2021 were £2.3 million (2020: £2.4 million). Revenues in the year continued to be adversely affected by the impact of COVID-19 and the resulting significant reduction in elective surgical procedures globally. Deltex Medical's business experienced disruptions associated with the pandemic for the entire year unlike trading in 2020 when the business in the first quarter was not so severely affected. Although the Group's direct business in the USA and the UK has not yet returned to pre-pandemic levels, the performance of the International division significantly improved during the year. The backlog in elective surgical cases continues to build around the world and this is increasingly becoming a political issue in many territories. The Board continues to believe that this backlog represents a key opportunity for Deltex Medical as the Group's TrueVue Doppler technology can be used to help minimise patient length of stay (and associated costs) following elective surgery and hence increase capacity for hospitals.
In 2021, prompted by the needs of clinicians treating patients suffering with COVID-19, the Group accelerated its research programmes linked to the development of a non-invasive, easy-to-use Doppler-based haemodynamic monitoring system on non-sedated patients with applications beyond elective surgery. Deltex Medical announced total gross grant notifications for 2021 of £0.6 million on 20 December 2021 relating to the development of this new technology. The roll out of this new technology should help the Group diversify its addressable market away from elective surgery and open up new market opportunities, including, for example, the early detection of sepsis in patients.
Cash at hand at 31 December 2021 was £0.4 million (2020: £0.9 million).
Nigel Keen, Chairman of Deltex Medical, commented:
"Even though the year was impacted significantly by COVID-19, we have made good progress in many areas of the business. We have seen sales growth return to our International division and have also pushed forwards the development of the next generation TrueVue monitor due for release later this year."
"As the world starts to learn to live with COVID-19 and we bring to market our new easy-to-use haemodynamic monitoring technology with applications beyond elective surgery, we believe that our business will grow in 2022."
For further information, please contact:
Deltex Medical Group plc | 01243 774 837 |
Nigel Keen, Chairman | investorinfo@Deltexmedical.com |
Andy Mears, Chief Executive | |
Natalie Wettler, Group Finance Director | |
Nominated Adviser and Broker Arden Partners plc | 020 7614 5900 |
Paul Shackleton | info@arden-partners.com |
Benjamin Onyeama-Christie
| |
Joint Broker | |
Turner Pope Investments (TPI) Ltd | 0203 657 0050 |
Andy Thacker James Pope | info@turnerpope.com |
Notes for Editors
Deltex Medical manufactures and markets haemodynamic monitoring technologies which are primarily used in critical care and general surgical procedures. Deltex Medical's proprietary oesophageal Doppler monitoring (TrueVue Doppler) measures blood flow velocity in the central circulation in real time. The technology generates a low-frequency ultrasound signal which is highly sensitive to changes in blood flow and measures such changes in 'real time'. Deltex Medical is the only company in the enhanced haemodynamic monitoring space to have built a robust and credible evidence base demonstrating both the clinical and economic benefits of its core technology: TrueVue Doppler. This technology has been proven in a wide range of clinical trials to reduce complications suffered by patients after surgery and consequently can save hospitals money.
Clinicians would like to be able to monitor the haemodynamic status of awake patients not only in the operating room and intensive care departments. Our R&D programmes will provide the capability for Deltex Medical devices to be used in A&E, including, for example, for the rapid detection of sepsis, as well as on lower acuity wards or outside the hospital setting.
Deltex Medical is also designing the next generation of non-invasive Doppler ultrasound devices that will be released onto the TrueVue platform and will accurately measure a non-sedated patient's haemodynamic status anywhere within the hospital and not just for elective surgical patients.
Group goal
Haemodynamic management is now becoming widely accepted as a vital part of the anaesthesia protocols for surgical patients, as well as treating ventilated intensive care patients, including ventilated COVID-19 patients. There is also a desire to start measuring haemodynamics on awake patients outside of the operating room or intensive care departments, such as in lower acuity units or in A&E. Our R&D programmes are targeting these broader applications. Consequently, the Group's focus is on maximising value from the opportunities associated with: the COVID-19 pandemic; the elective surgery backlog; the risks associated with sepsis; awake patients and the higher profile of haemodynamic monitoring which has arisen from recent consolidation in the sector.
The Group aims to provide clinicians with a modern, next generation, single 'haemodynamic workstation' platform which offers them a range of technologies from simple to sophisticated to be deployed according to the patient's clinical condition as well as the skill and expertise of the user. Doing this will enable the Group to partner with healthcare providers to support modern haemodynamic management across the whole hospital.
The Group is currently in the implementation phase of achieving this goal in a number of territories worldwide, operating directly in the UK and the USA, and via agreements with approximately 40 distributors overseas.