LID.L Regulatory News (LID)

LiDCO Group Plc

("LiDCO" or the "Company")

AGM Statement

LiDCO (AIM: LID), the hemodynamic monitoring company, will hold its Annual General Meeting today at 10am at the offices of finnCap, 60 New Broad Street, London, EC2M 1JJ. At the meeting the Chairman, Peter Grant, will make the following statement:

"This time last year, as planned, we invested significantly in the expansion of our commercial activities, strengthening both our sales efforts and promotional activities globally. Aligned to this, was the launch of our High Usage Programme (HUP) offering a unique unlimited license model focussing on attracting the larger more established users of hemodynamic monitoring to convert to LiDCO technology. HUP was launched in our key growth market, the US, but is now available in multiple territories.

"To date we have signed multi-year HUP contracts with customers in both Europe and the US. In the latter, the Group now has four significant customers contracted, including the largest single site user of hemodynamic monitoring in the US. The two latest customers bring the total number of HUP monitors in the US to 66 units with 38 in Europe, including our largest customer in the UK, where we are market leader. We are confident that these new multi-year contracts will grow significantly beyond their initial orders.

"As the business continues to win HUP contracts, we will transition towards multi-year license revenues, giving good visibility with recurring revenue and strong cash generation. This will greatly enhance the quality of the Company's earnings, although there will be a short-term impact on revenue recognition from new contracts as the income will typically be spread over the term of the contract as opposed to monitor sales being recognised up front.

"Year to date, LiDCO sales are in line with the prior year, despite the comparative period including strong monitor sales. This reflects the positive impact HUP is having on our recurring revenues (being sales of smartcards, sensors, software licenses including HUP and service contracts). This is especially so in the US where recurring revenues are up 95% in local currency versus prior year. Whilst it is early in our financial year and the sales cycle for winning HUP contracts is lengthy, the Board is pleased with progress to date and trading remains in line with the Board's expectations.

"Finally, I would like to thank those who attended our Capital Markets Day yesterday for taking the opportunity to learn more about the Company from our Senior Management team and also hear the experience of Dr Max Jonas as a clinical user of our products. For those who were unable to attend the presentations are available to view here: http://www.lidco.com/investors/presentations

This announcement contains inside information as defined in Article 7 of the Market Abuse Regulation No. 596/2014 ("MAR").

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About LiDCO Group Plc (www.lidco.com)

LiDCO is a supplier of non-invasive and minimally invasive hemodynamic equipment to hospitals used to monitor the amount of blood flowing around the body and ensure that vital organs are adequately oxygenated. LiDCO's products facilitate the application of hemodynamic optimisation protocols for high risk patients in both critical care units and in the operating theatre. 

Increasingly clinical studies are showing that the optimisation of patients' hemodynamic status in high risk patients produces better outcomes and reduced hospital stay. LiDCO's computer-based technology, originally developed at St Thomas' Hospital in London, has been shown to significantly reduce morbidity and complications, length of stay and overall costs associated with major surgery.

Key Products:

LiDCOunity: a hemodynamic monitor that combines the full suite of LiDCO technology (non-invasive, minimally invasive and calibrated technologies) into one platform. Designed to have the flexibility to adapt to a patient's changing acuity, the product enables clinicians to seamlessly transition between non-invasive, minimally invasive and calibrated hemodynamic monitoring. Version 2 of this software is only available on a new slim widescreen monitor and includes the optional high usage program software in selected markets.

LiDCOplus: a computer-based platform monitor used in the Intensive Care Unit for real-time continuous display of hemodynamic parameters including cardiac output, oxygen delivery and fluid-volume responsiveness.

LiDCOrapid: a cardiac output monitor designed specifically for use in the operating theatre for fluid and drug management. The monitor enables anaesthetists to receive accurate and immediate feedback on the patient's fluid and hemodynamic status - a key measure of overall well-being before, during and after surgery. The LiDCOrapid provides:

· early and rapid warning of hemodynamic change to aid choice of therapeutic route: fluid or drug

· quantification of hemodynamic response guidance on effective delivery of fluids to ensure the right amount at the right time

The software incorporated into LiDCOrapid allows the LiDCOrapid monitor to co-display Medtronic's level of consciousness parameter ('BISTM')* and add the convenience of CNSystem's continuous non-invasive blood pressure monitoring ('CNAP')**. This addresses a growing requirement for non-invasive monitoring solutions that are more comprehensive and can effectively replace multiple single parameter monitors. 

LiDCOview: an easy-to-use graphical display of historical LiDCOplus and LiDCOrapid hemodynamic data.

*BISTM and Bispectral Index are trademarks of Medtronic registered in the US and foreign countries.

**CNAPTM is a trademark of CNSystems Medizintechnik AG.

LiDCO monitors use single-patient disposables (sensors or smartcards) which provide an ongoing revenue stream.

LiDCO Distribution Network:

LiDCO sells directly to hospitals in the UK and USA and through a network of specialty critical care and anaesthesia distributors in the rest of the world.

LiDCO's headquarters are in London and its shares are traded on AIM.