As expected, losses have once again widened at medical devices company Tissue Regenix (TRX). The culprits were a twofold increase in sales and marketing costs from the group's most advanced division, wound care, and a rise in clinical trials expenditure. That said, a more commercial company is certainly taking shape thanks to a better than expected performance from flagship product DermaPure in its first full year in use. The Aim-traded company has also recently been granted US regulatory approval for its second wound care product, SurgiPure XD.
Orthopaedics products are inching closer to commercialisation thanks to the recent initiation of two human trials. However the division has also seen the highest expenditure in scientific development, with costs up 12 per cent at £2.3m, and expected to accelerate further in this financial year.
Towards the end of the period, TRX signed a joint venture with German tissue bank GTM-V. This is an important step for the group as European human tissue regulations differ from those in the United States, and this arrangement will allow TRX to gain licences for its products on this side of the pond.
Management has changed the current year-end to 31 December. Before these results, broker Edison had expected a statutory loss before tax of £12.5m for the year to January 2017, giving a loss per share of 1.6p.
TISSUE REGENIX (TRX) | ||||
|---|---|---|---|---|
| ORD PRICE: | 17.8p | MARKET VALUE: | £135m | |
| TOUCH: | 17.3-18.3p | 12-MONTH HIGH: | 23p | LOW: 13p |
| DIVIDEND YIELD: | NIL | PE RATIO: | NA | |
| NET ASSET VALUE: | 2.8p | NET CASH | £19.9m | |
| Year to 31 Jan | Turnover (£'000) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2012 | 109 | -2.9 | -0.57 | nil |
| 2013 | 49 | -4.0 | -0.55 | nil |
| 2014 | 6 | -6.3 | -0.88 | nil |
| 2015 | 100 | -8.2 | -1.19 | nil |
| 2016 | 816 | -10.0 | -1.27 | nil |
| % change | +716 | - | - | - |
Ex-div: na Payment: na | ||||
