These full-year results for ophthalmology specialist Optos (OPTS) helped repair the damage done to sentiment from a profit miss at the half-year stage. Helped by its new range of Daytona retinal scanning devices, acquisitions and a decisive switch away from a pay-per-patient business model, underlying pre-tax profit rose 16 per cent year on year to $26.3m (£16m.) However, that success masked a decline in the group's profit margin.
Making a success of Daytona's launch is vital as analysts reckon this will be the key to Optos's ability to achieve its target of high single-digit sales growth for 2013. If Optos is to meet that, broker Investec Securities reckons that between 1,000 and 1,500 Daytona machines will need to be installed. So far, the company has installed 329. However, that hasn't yet helped the gross profit margin, which fell to 57 per cent from 64 per cent, as the company's contract renewal programme gave customers the option of sticking with their existing technology.
Investec has put its estimates under review and, prior to these figures, was expecting adjusted EPS of 24.4¢ for 2013 (23.9¢ in 2012), although the broker has provisionally upped its 2013 cash profit estimate to $28m-$30m from $23.9m.
OPTOS (OPTS) | ||||
|---|---|---|---|---|
| ORD PRICE: | 174p | MARKET VALUE: | £125m | |
| TOUCH: | 173-174p | 12-MONTH HIGH: | 280p | LOW: 160p |
| DIVIDEND YIELD: | nil | PE RATIO: | 7 | |
| NET ASSET VALUE: | 166¢* | NET DEBT: | 40% | |
| Year to 30 Sep | Turnover ($m) | Pre-tax profit ($m) | Earnings per share (¢) | Dividend per share (¢) |
|---|---|---|---|---|
| 2008 | 101 | 5.90 | 6.70 | nil |
| 2009 | 97.0 | -3.80 | -6.10 | nil |
| 2010 | 106 | 12.7 | 18.1 | nil |
| 2011 | 143 | 22.0 | 31.0 | nil |
| 2012 | 193 | 23.4 | 37.2 | nil |
| % change | +35 | +6 | +20 | - |
Ex-div: - Payment: - *Includes intangible assets of $47.1m, or 66¢ a share £1=$1.60 | ||||
