REG - Deltex Med Grp PLC - Pre-close statement

Deltex MedicalAnnouncement

11/01/2022 07:05

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RNS Number : 9877X  Deltex Medical Group PLC  11 January 2022

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 (mailto:investorinfo@Fitbitmedical.com)
 Andy Mears, Chief Executive
 Natalie Wettler, Group Finance Director

 Nominated Adviser and Broker                                    020 7614 5900

 Arden Partners plc
 Paul Shackleton                                                  info@arden-partners.com (mailto:info@arden-partners.com)
 Benjamin Onyeama-Christie

 Joint Broker
 Turner Pope Investments (TPI) Ltd                               0203 657 0050
 Andy Thacker                                                     info@turnerpope.com (mailto:info@turnerpope.com)

 James Pope

 

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.

 

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