Continued growth in new customers – revenues in line with expectations
LONDON, UK, 21 January 2014 – Optos plc (LSE: OPTS), the leading medical retinal imaging company, today publishes its Interim Management Statement for the period from 1 October 2013 to today, including data for the three month period ended 31 December 2013, the first quarter of the Company's FY14 financial year. All figures are reported in US$ and are unaudited.
Installed Base & Revenue
In the first quarter of the year, we have delivered 10% year-on-year growth in new customers driven by Daytona (303 v 274 in Q1 FY13). This takes the total installed base to 6,219, up 5% from 5,945 at the start of the financial year.
The underlying1 revenue for the quarter grew 3% driven primarily by growth in new customers and outright ("capital") sales in our direct markets.
Headline revenues at $36.4m for the quarter were lower than the comparable period last year (Q1 FY13: $40.3m), but in line with expectations for the quarter and we reiterate the full year guidance given at the time of our preliminary results in November. The year-on-year growth in capital sales and service revenues was offset by declining operating lease revenue and reduced finance lease revenue (lower renewals available in the quarter).
Net debt at 31 December 2013 remained broadly in line with the year-end position at $39.7m ($39.4m at 30 September 2013) and lower than at 31 December 2012 ($49.7m).
As reported in the preliminary results the existing debt facilities were due to expire in September 2014. We are pleased to announce that, on 20 January 2014, we completed a new $30m revolving credit facility with Bank of Scotland which runs to January 2017. As part of the renewal process we also completed a $46m vendor financing deal with Key Equipment Finance, an affiliate of KeyCorp, in the US.
Roy Davis, CEO of Optos, commented:
"There remains strong demand for our unique ultra-widefield capabilities and, in particular, for the Daytona product. We continue to see good growth in new customers, particularly within North America and Asia, which has translated into a 5% increase in our installed base, although the European market remains challenging. We are also pleased with the cash performance in the first quarter and the successful re-financing gives Optos committed facilities for the next three years."
- Underlying revenue growth is calculated by treating all payments receivable in the period from rental contracts as if they were operating leases, regardless of the actual accounting treatment, together with revenues from outright device sales and service contracts
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About Optos Plc
Optos plc has the vision to be The Retina Company. We aim to be recognised as a leading provider of devices and solutions to eyecare professionals for improved patient care. Optos' core devices produce ultra widefield, high resolution digital images (optomaps®) of approximately 82% of the retina, something no other device is capable of doing in any one image.
Optos has a range of imaging devices that support different customer segments and patient levels: the P200 and 200Dx devices are concentrated on wellness screening carried out by optometrists and ophthalmologists in primary care; the P200C devices are designed to meet the need for more exacting clinical imaging capabilities and standards in secondary care within the ophthalmology market and at optometric practices that are clinically managing a patient base with advanced ocular disease; and the P200MA and 200Tx devices supports ophthalmologists and retinal specialists in the medical care market.
Daytona represents the next generation of Optos ultra-widefield retinal imaging technology, and has been scaled to accommodate smaller office spaces while providing high resolution imaging, and adding new autofluorescence capabilities. Weighing only about 25 kg, Daytona's new, ergonomic body is designed to increase patient comfort, as well as make it easier to correctly position the eye. In addition to the smaller, sleeker design, Daytona features an improved user interface with its intuitive, workflow based software. Daytona also offers "plug-n-play" installation, a modular robust build-design to simplify product support, image review capabilities and electronic image storage options. Daytona was designed to allow the globalisation of the core Optos imaging technology, giving the opportunity to offer the benefits of optomaps® technology to more eyecare professionals and their patients around the world.
The acquisition of OPKO instrumentation in October 2011 brought the group optical coherence tomography ("OCT") diagnostic devices and optical ultrasound scanners, used in the diagnosis and management of eye disease and conditions. Optos' widefield retinal imaging technology, combined with the specific data that can be derived from OCT images, has the potential to offer ophthalmologists and optometrists the most powerful tools for disease diagnosis and management. The optomaps® images provide enhanced clinical information which facilitates the early detection, management and treatment of disorders and diseases evidenced in the retina such as retinal detachments and tears, glaucoma, diabetic retinopathy and age-related macular degeneration. Retinal imaging can also indicate evidence of non-eye or systemic diseases such as hypertension and certain cancers. OCT delivers an image that shows a three dimensional, cross-sectional view of the retina in any particular area, typically in the central pole area of the retina around the optic nerve and macula and is used to detect the presence of and understand the severity of disease, determine treatment approaches and monitor post-treatment effect.
Our expanded product range now includes ultra-widefield imaging, OCT, visual acuity, perimetry and treatment laser products.
For more information please visit our website www.optos.com.
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