OrbusNeich Medical (6929) H2 2023 earnings summary

Executive summary

• FY2023 revenue rose 12.5% YoY to US$153.9m; excluding FX impact, growth was 15.4%. Attributable profit increased 143.8% to US$45.1m.

• Adjusted profit, excluding specified non-cash and one-time items, increased 73.1% to US$46.2m; core operating profit reached US$34.4m, up 34.4%.

Financial highlights

• Revenue US$153.865m (+12.5% YoY); gross profit US$106.498m (+15.2%); profit before tax US$49.628m (+127.7%).

• Attributable net income US$45.073m (+143.8%); basic EPS 5.45 US cents (+71.9%) and diluted EPS 5.41 US cents (+112.2%).

• Adjusted profit US$46.153m (+73.1%), excluding non-cash and one-time items including listing expenses, share-based compensation and preferred-share interest unwinding.

• Operating profit was US$39.939m versus US$21.072m; net finance income rose to US$10.524m from US$0.918m, mainly on higher bank-deposit interest.

Outlook and guidance

• Management expects growth from market expansion and a broader portfolio; acquisitions in Indonesia and South Korea are expected to support APAC growth.

• Scoreflex TRIO launched in early 2024 in selected APAC and EMEA markets; FDA approvals for Sapphire Ultra and Sapphire NC Ultra were expected in Q1 2024.

• Hangzhou R&D and manufacturing base is expected to begin operations in 2027, adding annual capacity of 2.4m product units.