26/08/2024 | Press release | Distributed by Public on 26/08/2024 13:03
26 Aug 2024 08:00 CEST
ContextVision AB
Q2 Highlights
· New customers signed in Asia and North America. ContextVision now has
potential to expand its footprint in North America in different segments.
· Stable cash flow and good cash position enable continued investments in
image quality and in data quality.
· Progress in Point-of-Care Ultrasound (POCUS) as ContextVision enters early
stages of the development of new product pipeline for organ specific
applications.
· Final stage of signing an advanced development partnership regarding POCUS.
Q2 Financial Data
· Net Sales of 31.7 MSEK (33.8), down -6.2%.
· Adjusted EBITDA amounted to 9.0 MSEK (16.0) with an adjusted EBITDA margin
of 28.4% (47.4).*
· Adjusted operating result amounted to 6.7 MSEK (13.8) with an adjusted
operating margin of 21.1% (40.8).*
· Adjusted earnings per share was 0.07 SEK (0.14).*
· Cash flow from operating activities was 11.8 MSEK (20.6).
H1 Financial Data
· Net Sales of 66.4 MSEK (66.2).
· Adjusted EBITDA amounted to 23.0 MSEK (29.2) with an adjusted EBITDA margin
of 34.6% (44.0).*
· Adjusted operating result amounted to 18.8 MSEK (24.6) with an adjusted
operating margin of 28.4% (37.2).*
· Adjusted earnings per share was 0.20 SEK (0.25).*
· Cash flow from operating activities was 44.7 MSEK (25.9).
* Adjusted for investments in point-of-care ultrasound which amounted to 1.2
MSEK in Q1 and 1.6 in Q2 ..
Strong cash position supports continued investment in Image and Data Quality
In the second quarter of 2024, we have signed new customers in North America and
Asia, and we are continuing our investments in both image quality and data
quality. Our cash flow remains stable, with a good cash position, and we are
confident that the investments we are making now will drive long-term growth.
The second quarter of the year saw a decrease in net sales compared to the same
quarter last year. We achieved net sales of 31.7 MSEK, reflecting a decline of
6.2%. This decrease can largely be attributed to exceptionally favorable
conditions in the second quarter of 2023, with a currency tailwind last year
turning into a currency headwind this quarter. Additionally, as we mentioned in
the previous quarter, there was a favorable timing of orders in the first
quarter of this year, which impacted this quarter's sales.
EBITDA reached 9.0 MSEK with an EBITDA margin of 28.4% adjusted for investments
in POCUS totaling 1.6 MSEK (5.0% of net sales). The decline in profitability can
be explained by several factors. Since last year, we have recruited several
experienced new hires as well as seen increased administrative costs and 1 MSEK
in transactional FX. Furthermore, a change in capitalization policy in late 2023
has led to that no costs have been capitalized this year. These factors have all
impacted our current profitability, and we anticipate that costs remain elevated
as we continue to pursue our growth agenda in both image quality and data
quality.
During the quarter, we signed several new customer contracts. Our footprint in
the North American segment is positioned for significant growth with strategic
customers, enabling faster revenue streams due to shorter regulatory timelines.
While we observe a downturn in certain parts of Asia which could in turn, affect
us; we also recognize growth potential in other market segments, particularly
the U.S., including handheld devices, where a new contract has been secured.
Regarding data quality, specifically our innovations in Point-of- Care
Ultrasound (POCUS), we are making progress on an expanded product pipeline for
organ-specific applications aimed at streamlining disease management. This
initiative is an extension of our current image quality portfolio, and holds
great potential. We are also nearing the completion of an advanced development
partnership with a world-renowned university in this field, as well as a
collaboration with a medical device manufacturer to accelerate development and
clinical validation.
Looking ahead, we see that we have good capacity to continue investing in both
image quality and data quality to drive long-term growth.
Finally, I want to extend my gratitude to co-workers, customers, partners and
other stakeholders. We will continue our journey of delivering best-in-class
image quality technology while innovating in new, groundbreaking areas,
positioning ourselves as a key player in the ongoing healthcare transformation.
I look forward to sharing more updates on our progress, as we proceed and reach
new milestones.
Dr. Dr. Gerald Pötzsch
Chief Executive Officer, ContextVision AB
For more information, please contact:
Richard Hallström, Chief Financial Officer ContextVision,
[email protected]
About ContextVision
ContextVision is a medical technology software company specialized in
image analysis and artificial intelligence. As the global market leader within
image enhancement, we are a trusted partner to leading manufacturers of
ultrasound, X-ray and MRI equipment around the world. Our expertise is to
develop powerful software products, based on proprietary technology and
artificial intelligence for image-based applications. Our cutting-edge
technology helps clinicians accurately interpret medical images, a crucial
foundation for better diagnosis and treatment. The company, established in 1983,
is based in Sweden with local representation in the U.S., Japan, China and
Korea. ContextVision is listed on the Oslo Stock Exchange under the ticker
CONTX.
This information is inside information pursuant to the EU Market Abuse
Regulation and is subject to the disclosure requirements pursuant to Section 5
-12 the Norwegian Securities Trading Act. The information was submitted for
publication, through the agency of the contact person set out above, at 08.00
a.m. CET on August 26, 2024.
More information:
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