Peptonic Medical (PMED) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 was SEK 5.5m, down from SEK 9.5m year-over-year, mainly due to the divestment of Lune Group Oy and lower partner sales in the US and Europe.

• Gross margin improved to 57% from 47% year-over-year, driven by favorable sales mix and cost reductions.

• Operating loss widened to SEK -10.5m from SEK -7.6m in Q3 2023, impacted by one-time marketing investments and a US inventory write-down.

• Strategic milestone reached with full-scale launch of VagiVital in the US, shifting from partner-led to direct sales and marketing.

• Nordic region sales grew 27% in Q3 and 40% for the nine-month period, driven by organic growth and new product launches.

Financial highlights

• Q3 2024 sales: SEK 5.5m (Q3 2023: SEK 9.5m); nine months: SEK 22.4m (2023: SEK 30.3m).

• Gross profit Q3: SEK 3.2m (Q3 2023: SEK 4.5m); gross margin 57% (47%).

• Operating loss Q3: SEK -10.5m (Q3 2023: SEK -7.6m); nine months: SEK -31.9m (2023: SEK -21.6m).

• EPS Q3: SEK -0.002 (Q3 2023: SEK -0.006); nine months: SEK -0.01 (2023: SEK -0.02).

• Cash and bank at period end: SEK 8.2m (Q3 2023: SEK 8.7m); equity ratio 83%.

Outlook and guidance

• Full-scale US launch of VagiVital underway, with direct control over marketing and sales expected to drive future growth.

• Continued product portfolio expansion planned, including launches of VagiVital Active Glide and Calming Gel.

• Ongoing focus on strengthening Nordic market position and leveraging digital channels for cost-effective growth.