18 September 2017

 

Unaudited Interim results for the six months ended 30 June 2017

 

Strong first half financial performance – net service revenues up 53% and gross profit up 42%

 

Haemostatix programmes significantly advanced, PeproStat™ Phase IIb study ahead of schedule

 

 

London, UK – 18 September 2017: Ergomed plc, (“Ergomed”, the “Company”, AIM: ERGO) a company dedicated to the provision of specialised services to the pharmaceutical industry and the development of new drugs, today announces its interim results for the six months ended 30 June 2017.

“It has been a solid first half for Ergomed and we are pleased with both top-line growth and EBITDA for the period. We also had important data read-outs from our co-development partners in the half year and data from our own proprietary product PeproStat™ is expected in the next few weeks. I am confident that Ergomed is well positioned for further growth, both organic and through acquisition, and of the benefits this will bring to our customers, partners, employees and shareholders.”

Dr Dan Weng

Chief Executive Officer of Ergomed plc

Financial highlights (unaudited)

 

  • Net service revenues1 up 53% to £19.5 million (H1 2016: £12.7 million)
  • Total revenues up 31% to £22.9 million (H1 2016: £17.6 million)
  • Gross profit up 42% to £7.5 million (H1 2016: £5.3 million)
  • EBITDA £1.5 million (H1 2016: £1.2 million) (note 10)
  • Adjusted EBITDA (including adjustments for share-based payment charge and acquisition costs) £1.8 million, the same as H1 2016 after an additional £1.0 million R&D spend in the half year (note 10)
  • Operating profit £0.7 million (H1 2016: £0.8 million)
  • Contribution in kind to co-development projects decreased to £1.7 million in H1 2017 (H1 2016: £2.1 million)

 

Operational highlights

 

  • Service contracts with a value of £23 million (net of co-development discounts) signed through 31 July 2017
  • Strong backlog of signed contracts of over £70 million at 31 July 2017 (31 July 2016: £60 million)
  • Peter George, former CEO of Clinigen Group plc and non-executive director of Ergomed, appointed Chairman
  • Positive data from the Phase II trial of lorediplon in insomnia of co-development partner, Ferrer
  • Co-development partner Aeterna Zentaris announced negative results from the Phase III trial of Zoptrex in endometrial cancer

 

Post period-end highlights

 

  • Dr Dan Weng appointed Chief Executive Officer, with Dr Miroslav Reljanovic, founder and former CEO, becoming Executive Vice Chairman
  • FDA lifted clinical hold on co-development partner CEL-SCI’s Phase III trial of Multikine® in head and neck cancer
  • PeproStat™ Phase IIb trial patient recruitment completed in July, six months ahead of schedule. Data are expected around the end of October 2017

 

1 To align with industry practice, Ergomed is disclosing reimbursement revenue and reimbursable expenses as part of total revenues and separately from cost of sales, respectively. Net service revenues exclude reimbursement revenues.

 

 

 

Enquiries:

 

Ergomed plc

Tel: +44 (0) 1483 503205

Dan Weng (Chief Executive Officer)

 

Stephen Stamp (Chief Financial Officer)

 

 

 

Numis Securities Limited

Tel: +44 (0) 20 7260 1000

Michael Meade / Freddie Barnfield (Nominated Adviser)

 

James Black (Joint Broker)

 

 

 

N+1 Singer

Tel: +44 (0) 20 7496 3000

Alex Price (Joint Broker)

 

 

 

Consilium Strategic Communications – for UK enquiries

Tel: +44 (0) 20 3709 5700

Chris Gardner / Mary-Jane Elliott

Ivar Milligan / Philippa Gardner

ergomed@consilium-comms.com

 

 

MC Services – for Continental European enquiries

Tel: +49 211 5292 5222

Anne Hennecke

 

     

 

 

About Ergomed

 

Ergomed provides specialist services to the pharmaceutical industry and develops drugs both wholly-owned and through partnerships. Ergomed’s fast-growing, profitable service offering spans all phases of clinical development and post-approval pharmacovigilance and medical information. Drawing on more than 20 years of expertise in drug development, Ergomed is also building a growing portfolio of drug development partnerships and programmes, including wholly-owned proprietary products for the treatment of surgical bleeding. For further information, visit: http://ergomedplc.com

 

 

Forward Looking Statements

Certain statements contained within the announcement are forward looking statements and are based on current expectations, estimates and projections about the potential returns of Ergomed plc (“Ergomed”) and industry and markets in which Ergomed operates, the Directors' beliefs and assumptions made by the Directors. Words such as "expects", "anticipates", "should", "intends", "plans", "believes", "seeks", "estimates", "projects", "pipeline" and variations of such words and similar expressions are intended to identify such forward looking statements and expectations. These statements are not guarantees of future performance or the ability to identify and consummate investments and involve certain risks, uncertainties, outcomes of negotiations and due diligence and assumptions that are difficult to predict, qualify or quantify. Therefore, actual outcomes and results may differ materially from what is expressed in such forward looking statements or expectations. Among the factors that could cause actual results to differ materially are: the general economic climate, competition, interest rate levels, loss of key personnel, the result of legal and commercial due diligence, the availability of financing on acceptable terms and changes in the legal or regulatory environment.

 

These forward-looking statements speak only as of the date of this announcement. Ergomed expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in Ergomed’s expectations with regard thereto, any new information or any change in events, conditions or circumstances on which any such statements are based, unless required to do so by law or any appropriate regulatory authority.

 

***Please read the full release here***


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