REG - Deltex Med Grp PLC - Chairman's Statement to Annual General Meeting

Deltex MedicalAnnouncement

18/05/2022 07:00

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RNS Number : 8454L  Deltex Medical Group PLC  18 May 2022

18 May 2022

Deltex Medical Group plc

("Deltex Medical" or the "Company")

 

Chairman's Statement to Annual General Meeting

 

At today's Annual General Meeting of Deltex Medical Group plc (AIM: DEMG), the
global leader in Oesophageal Doppler Monitoring ("ODM"), the Group's Chairman,
Nigel Keen, will make the following statement:

AGM statement

"There are encouraging signs that the Group's revenues in the UK and USA are
beginning to recover, as disruption in hospitals caused by COVID-19 continues
to subside. Whilst stringent infection control disciplines remain in place,
the rate of growth of revenues remains highly dependent on our sales teams and
clinical educators having the opportunity of good and engaged access in
appropriate units within hospitals; this remains a challenge in certain
accounts. However, as the number of global elective procedures increases and
access into hospitals improves for our teams of clinical educators and sales
experts, the use of Deltex Medical's haemodynamic monitoring technologies is
expected to recover towards pre-Covid levels.

Our international division, which generates revenues via some 40 overseas
distributors, continues to record increased activity levels. Similar to 2021,
we are expecting robust growth from this division during the year.

At this AGM we are demonstrating our new, next generation TrueVue monitor,
that includes a novel non-invasive modality which will be launched onto the UK
and European markets later this year subject to regulatory approval. The
release of this monitor will drive the new non-invasive device and will expand
the addressable market.  We expect it to help us build a significant order
book, enable better access into hospitals and give rise to incremental
revenues as distributors and hospitals upgrade their current monitors to this
latest version, with purchases from both our international distributors and
hospitals in the UK and USA. We anticipate that these incremental revenues
will continue for a number of years given the size of the installed base of
the existing Deltex Medical monitors in the market."

 

For further information, please contact:

 Deltex Medical Group plc                                        01243 774 837

 Nigel Keen, Chairman                                            investorinfo@Deltexmedical.com (mailto:investorinfo@Deltexmedical.com)
 Andy Mears, Chief Executive
 Natalie Wettler, Group Finance Director

 

 Nominated Adviser and Joint Broker

 Allenby Capital Limited             020 3328 5656
 Jeremy Porter                       info@allenbycapital.com (mailto:info@allenbycapital.com)

 Vivek Bhardwaj

 Joint Broker
 Turner Pope Investments (TPI) Ltd   020 3657 0050
 Andy Thacker                        info@turnerpope.com (mailto:info@turnerpope.com)

 James Pope

 

Notes for Editors

Deltex Medical's technology

Deltex Medical's TrueVue System uses proprietary haemodynamic monitoring
technology to assist clinicians to improve outcomes for patients as well as
increase throughput and capacity for hospitals.

Deltex Medical has invested over the long term to build a unique body of
peer-reviewed, published evidence from a substantial number of trials carried
out around the world. These studies demonstrate statistically significant
improvements in clinical outcomes providing benefits both to patients and to
the hospital systems by increasing patient throughput and expanding hospital
capacity.

The Group's flagship, world-leading, ultrasound-based oesophageal Doppler
monitoring ("ODM") is supported by 24 randomised controlled trials conducted
on anaesthetised patients. As a result, the primary application for ODM is
focussed on guiding therapy for patients undergoing elective surgery.

During 2021, Deltex Medical's engineers and scientists carried out successful
research in conjunction with the UK's National Physical Laboratory ("NPL"),
which has enabled the Group's 'gold standard' ODM technology to be extended
and developed so that it can be used completely non-invasively.  This will
significantly expand the application of Deltex Medical's technology to
non-sedated patients. This new technological enhancement, which will be
available on the new next generation monitor, will substantially increase the
addressable market for the Group's haemodynamic monitoring technologies and is
complementary to the long-established ODM evidence base.

Our new non-invasive technology has potential applications for use in a number
of healthcare settings, including:

·    Accident & Emergency for the rapid triage of patients, including
the detection and diagnosis of sepsis, an important capability for patients
presenting with COVID-19 symptoms;

·    In general wards to help facilitate a real-time, data-driven
treatment regime for patients whose condition might deteriorate rapidly; and

·    In critical care units to allow regular monitoring of patients
post-surgery who are no longer sedated or intubated.

One of the key opportunities for the Group in 2022 is positioning this new,
non-invasive technology for use throughout the hospital. Our haemodynamic
monitoring technologies provide clinicians with beat-to-beat real-time
information on a patient's circulating blood volume and heart function. This
information is critical to enable clinicians to optimise both fluid and drug
delivery to patients.

Our business model is to drive the recurring revenues associated with the sale
of single-use disposable ODM probes which are used in the TrueVue System and
to complement these revenues with a new incremental revenue stream to be
derived from our new non-invasive technology.

Both the existing single-use ODM probe and the new, non-invasive device
connect to the same, next generation monitor which is due for launch in
2022.  Monitors are sold or, due to hospitals' often protracted procurement
times for capital items, loaned in order to encourage faster adoption of our
technology.

Deltex Medical's customers

The principal users of our products are currently anaesthetists working in a
hospital's operating theatre and intensivists working in ICUs. This customer
profile will change as our new non-invasive technology is adopted by the
market. In the UK we sell directly to the NHS. In the USA we sell directly to
more than 30 major hospitals that appreciate the value of our evidence-based
approach to haemodynamic management. We also sell through distributors in more
than 40 countries in the European Union, Asia and the Americas.

Deltex Medical's objective

To see the adoption of our next generation TrueVue System, comprising both
minimally invasive and non-invasive technologies, as the standard of care in
haemodynamic monitoring for all patients from new-born to adult, awake or
anaesthetised, across all hospital settings globally.

For further information please go to www.deltexmedical.com
(http://www.deltexmedical.com)

 

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