Pre-Close Trading Update
9/27/2007
LONDON, UK, 27 September 2007 – Optos plc (LSE: OPTS), a leading medical technology company for the design, development, manufacturing and marketing of retinal imaging devices, is today issuing the following trading update ahead of the Group’s preliminary results for the year ended 30 September 2007, which will be announced on 29 November 2007.
Summary
“We are very pleased with our full year performance, with trading fully in line with the Group’s expectations and delivering on consensus market estimates,” said Thomas W. Butts, Chief Executive Officer. “North America continued to perform well with sustained growth, including within the corporate customer segment, and Europe achieved excellent underlying growth with strong levels of new business in Germany and steady progress in the UK.”
Financial Highlights
- Revenue in the second half is expected to be $45.5-$46.5 million, an increase of 25%-28% from $36.4 million for the same period last year.
- Revenue for the full year is expected to be $85.7-$86.7 million, up from $67.7 million reported for the same period last year and representing 26%-28% year over year growth.
The Group expects a profit before tax for the second half of the financial year, which will represent the third consecutive six-month reporting period in which the Company has delivered a profit.
Operating Highlights
Uplift in the customer base is continuing with the installation of between 660-680 P200 devices on pay-per-patient customer contracts expected for the full year. This will grow the total pay-per-patient installed base to 3,253-3,273 devices at the close of the financial year. This represents an increase of approximately 26% over the 2,593 devices installed on the same basis at this point last year. In addition, the Group sold 55 P200 devices on a capital sales basis during the last 12 months. Capital sales represent approximately 3.0% of the Group’s total installed base.
The number of optomap® Retinal Exams performed on a pay-per-patient basis during the year are expected to be 4.0 million, representing growth of approximately 19% over the 3.4 million that were performed on this basis last year. Contract renewal rates for the full year remained constant at 89%.
European Expansion
Plans for expansion into new European country markets are on track following the completion of market research and trial placements of the Company’s retinal scanning devices. The Company expects to make an announcement regarding these markets early in the new financial year.
New Products
Full commercial launch of the Company’s new P200MA device remains on target for early Q2’08. The P200MA device enables ophthalmologists and retinal specialists to perform the optomap® fa (fluorescein angiography) Medical Procedure and will extend Company’s product line into the secondary and medical care markets.
Outlook
The Group expects that recurring revenue and strong contract renewals will provide a solid platform for reliable growth in 2008. Continued penetration within the Company’s established markets will form the core for further growth. Expansion into new geographic markets and integrating the optomap® fa Medical Procedure into the secondary and medical care markets present new opportunities to augment growth in 2008.
The Company will issue full year revenue guidance for the 2008 financial year when it reports its preliminary results.
- ENDS -
Enquiries
Optos plc +44 (0)1383 843 337
John McNeil, Director of Communications
Citigate Dewe Rogerson +44 (0)20 7638 9571
Kevin Smith/ Yvonne Alexander
Note to Editors
Optos plc
Optos plc is a leading and rapidly growing medical technology company for the design, development, manufacturing and marketing of devices that image the retina, the light-sensitive area at the back of the eye. Optos' platform technology is the Panoramic200 Scanning Laser Ophthalmoscope device - known as the P200. In a quarter of a second the P200 device produces a high resolution image of up to 200 degrees or approximately 82 percent of the retina in a single capture. The image - branded the optomap® Retinal Exam - provides eye care practitioners with clinically useful information that facilitates the early detection of disorders and diseases evidenced in the retina, such as glaucoma, diabetic retinopathy and age-related macular degeneration. Retinal imaging can also indicate evidence of non-eye or systemic diseases such as diabetes, hypertension and certain cancers. The Company has regulatory clearance (CE and FDA 510(k)) to market a second device - P200MA. Optos’ technology provides an unequalled combination of wide-field retinal imaging, speed and convenience for both practitioner and patient and can help save sight and save lives. Optos is incorporated in Scotland under the Companies Act 1985 with registered number SC139953. The Company maintains its Registered Office at Queensferry House, Carnegie Business Campus, Dunfermline, Scotland KY11 8GR United Kingdom.
Forward-Looking Statements
Certain statements made in this announcement are forward-looking statements. These forward-looking statements are not historical facts but rather are based on the Company's current expectations, estimates and projections about its industry, its beliefs and assumptions. Words such as 'anticipates,' 'expects,' 'intends,' 'plans,' 'believes,' 'seeks,' 'estimates,' and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors, some of which are beyond the Company's control, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. The Company cautions shareholders and prospective shareholders not to place undue reliance on these forward-looking statements, which reflect the view of the Company only as of the date of this announcement. The forward-looking statements made in this announcement relate only to events as of the date on which the statements are made. The Company will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this announcement except as required by law or by any appropriate regulatory authority.