SomnoMed (SOM) investor relations material

Executive summary

• FY26 revenue grew 3% to $114.5m, with EBITDA up 19% to $10.9m and margin improving to 9.6%, led by North America.

• Manufacturing capacity expanded by over 20% in FY26, reducing production times by more than 50% over two years.

• Virtus, a new oral appliance for OSA and bruxism, advanced through controlled global market release with positive early feedback.

• Leadership transitioned to a single CEO structure, with new COO and CMO appointments, and a focus on strategic priorities.

• Maintained robust net cash position of $16.8m at year-end.

Financial highlights

• Revenue rose 3% to $114.5m, EBITDA increased 19% to $10.9m, and margin improved to 9.6%.

• Gross profit grew 5% to $70.0m; group gross margin improved to 61.1%.

• Operating cash flow after leases was $5.2m; capital expenditure totaled $5.7m, over half directed to growth and capacity.

• Cash and cash equivalents at year-end were $17.2m, with net cash of $16.8m.

• Debt reduced by 48% to $0.4m; free cash flow was -$0.6m, reflecting planned growth investments.

Outlook and guidance

• Targeting high single-digit revenue growth and stable EBITDA margins in FY27.

• FY27 guidance to be detailed at the AGM, pending further clarity on regional growth and FX impacts.

• Strategic focus on organic growth, product innovation, Virtus rollout, and expanding market access.

• Long-term goal to return to double-digit revenue growth and expand EBITDA margins.