Advanced Medical Solutions upbeat on first-half growth

15th Jul 2024 11:37

(Sharecast News) - Advanced Medical Solutions updated the market on its trading in the six months ended 30 June on Monday, highlighting significant revenue growth and strong performance from its US LiquiBand product line.

The AIM-traded firm said group revenue for the first half was projected to be around £68m, marking a 10% increase on a constant currency basis and an 8% rise at reported exchange rates, compared to £63.1m in the first six months of 2023.

That growth was primarily driven by the US market, where LiquiBand sales had surged following the implementation of a new marketing strategy in the third quarter of last year.

The board said the enhanced commitment from partners and the promotion of LiquiBand XL across all three hospital distribution channels had significantly contributed to the positive outcome.

Adjusted profit before tax for the period was anticipated to be between £14.4m and £14.8m, up from £13.8m in the same period last year.

Looking ahead, AMS said it was optimistic about its performance for the full 2024 financial year.

Despite ongoing challenges in the wound care sector, the group said it expected to achieve double-digit top-line growth, excluding contributions from the recently acquired Peters Surgical.

The company's consolidated revenues and adjusted profit before tax were set to align with management's projections.

AMS said the recent acquisition of Peters Surgical, completed on 1 July, was expected to bring substantial benefits to the firm, including cross-selling opportunities and operational synergies that would enhance the group's performance over the next three years.

"We are very pleased to be able to report such a strong H1 performance and to confirm that 2024 remains on track," said chief executive officer Chris Meredith.

"We look forward to building on this strong start to the year.

"As we consolidate Peters Surgical in the second half, this nearly doubles our surgical sales, significantly expands our distribution capabilities and establishes the group as a global powerhouse in tissue-healing, solidifying our strategy for significant and sustainable growth in the long-term."

AMS said it was scheduled to release its interim results in September.

At 1127 BST, shares in Advanced Medical Solutions Group were up 0.88% at 229p.

Reporting by Josh White for Sharecast.com.