INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2021

Oxford, UK – 16 September 2021: Circassia Group plc (LSE: CIR), a medical device company focused on point of care asthma diagnosis and management, today announces its unaudited interim results for the six months ended 30 June 2021 (“H1 2021”).

Financial highlights

  • NIOX® sales increased 28% to £14.6 million (H1 2020: £11.4 million) following the post COVID-19 recovery
  • NIOX® business (excluding corporate overheads of £0.7 million (H1 2020: £1.3 million)) generated an EBITDA profit for the first time of £0.6 million (H1 2020: £4.9 million loss), reflecting substantial reduction in cost base
  • Discontinued COPD business traded profitably, generating profit of £1.1 million (H1 2020: £8.6 million loss)
  • Net cash of £11.3 million as of 30 June 2021 (30 June 2020: £9.6 million, 31 December 2020: £7.4 million)

Financial progress

Key performance indicators (KPIs) for the Group H1 2021

£m

 H1 2020

£m
Revenue 14.6 11.4
Gross margin 68% 68%
Total expenditure1 (10.0) (14.0)
Adjusted EBITDA2 (0.1) (6.2)
Operating loss (2.6) (8.7)
Loss before tax from continuing operations (2.0) (9.4)
Profit/(loss) for the financial period from discontinued operations 1.1 (8.6)
Loss for the financial period (0.9) (18.0)
Net cash3 at period end 11.3 9.6

1 Excludes depreciation, amortisation and impairment.

2 Earnings before interest, tax, depreciation, amortisation and impairment.

3 Includes cash and cash equivalents.

 

Operational highlights

  • The transfer of the COPD products (Tudorza® and Duaklir®) back to AstraZeneca completed on 31 March 2021
  • Settlement reached with Beyond Air, Inc. in May 2021 which, subject to FDA approval of their product may provide further cash resources of up to $16.5 million
  • Surpassed 40 million FeNO tests since launch
  • Expansion of distribution in China
  • Named ‘Global Leaders in FeNO Testing 2021’ by Global Health & Pharma Awards

 

Ian Johnson, Circassia’s Executive Chairman, said: “We are pleased to report that the Company has reached a significant milestone with the continuing NIOX® business now profitable at the EBITDA level. Management has made substantial progress in implementing a new strategy, right sizing the business and ensuring it has the capability to generate profitable revenue growth. The cost base is now stable and plans to expand international distribution are being executed.

 Trading in July and August has been slightly above EBITDA breakeven for the Group (including corporate overheads). Despite revenue visibility continuing to be limited and testing volumes in several of our major markets continuing to be held back by the effects of the pandemic, given the Group’s reduced cost base, the Board believes the full year EBITDA performance is likely to be materially ahead of current market expectations.”

 

        

Contacts

Circassia

Ian Johnson, Executive Chairman                                                                Tel: +44 (0) 1865 405 560

Michael Roller, Chief Financial Officer

Singer Capital Markets (Nominated Adviser and Broker)

Aubrey Powell/ Jen Boorer/ Hannah Woodley                                               Tel: +44 (0) 20 7496 3000

About Circassia

Circassia is a medical device company focused on point of care asthma diagnosis and management. Our market-leading NIOX® products are used in clinical settings by physicians around the world to improve asthma diagnosis and management and by leading research organisations conducting clinical studies on behalf of pharmaceutical companies.  At present, Circassia provides products and services in around 50 countries. For more information please visit www.circassia.com.

The Company’s interim results report is available online at www.circassia.com/investors/financial-reports/

Forward-looking statements

This press release contains certain projections and other forward-looking statements with respect to the financial condition, results of operations, businesses and prospects of Circassia. The use of terms such as “may”, “will”, “should”, “expect”, “anticipate”, “project”, “estimate”, “intend”, “continue”, “target” or “believe” and similar expressions (or the negatives thereof) are generally intended to identify forward-looking statements. These statements are based on current expectations and involve risk and uncertainty because they relate to events and depend upon circumstances that may or may not occur in the future. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements. Any of the assumptions underlying these forward-looking statements could prove inaccurate or incorrect and therefore any results contemplated in the forward-looking statements may not actually be achieved. Nothing contained in this press release should be construed as a profit forecast or profit estimate. Investors or other recipients are cautioned not to place undue reliance on any forward-looking statements contained herein. Circassia undertakes no obligation to update or revise (publicly or otherwise) any forward-looking statement, whether as a result of new information, future events or other circumstances.

 


Download Interim Results 2021

Click here to download full interim results as a PDF.

Download press release