Integrum (INTEG) Q1 24/25 earnings summary

Executive summary

• Pioneering in bone-anchored and neuromuscular integrated prosthetics, with the OPRA Implant System as the only FDA-approved osseointegrated prosthesis for above-knee amputees in the U.S.

• Net sales for Q1 2024/25 were SEK 18.5 million, down 9.5% year-over-year, mainly due to inventory buildup in new markets and focus on a major US collaboration.

• Operating profit was SEK -12.0 million, with a net loss after tax of SEK -9.4 million and EPS of SEK -0.49.

• Major commercial agreement signed with Hanger, a leading US amputee care provider, expected to drive future growth.

• SEK 50 million raised via new share issue to accelerate commercialization and strengthen the organization.

Financial highlights

• Q1 net sales were SEK 18.5 million, down 9.5% year-over-year from SEK 20.4 million; US accounted for 74% of sales.

• Gross margin declined to 81% from 88% due to product mix and higher variable compensation.

• Operating loss widened to SEK -12.0 million from SEK -2.9 million; net loss after tax was SEK -9.4 million.

• Cash flow from operating activities was SEK -10.5 million; total cash flow positive at SEK 29.3 million due to financing.

• Equity/assets ratio improved to 90.0% from 85.8% year-over-year.

Outlook and guidance

• The Hanger partnership is expected to have a positive impact this fiscal year, providing access to a large share of the U.S. amputee population.

• Expansion in new markets (UK, Israel, Turkey, Ukraine) anticipated to stabilize and drive future revenue.

• Cash and new credit facilities provide a solid base for continued investments in commercial and clinical activities.

• Focus remains on building a scalable, global business and expanding the product portfolio.

• No specific sales or profit guidance figures were provided, but management remains confident in long-term growth.