Creo Medical Group PLC (AIM:CREO) said it remains confident in its outlook for 2025, expecting another year of strong growth in its core technology division, as it reported a 40% increase in first-half revenue from its main products.
The medical device group, which develops minimally invasive surgical tools for cancer and pre-cancer patients, said revenues from continuing operations reached £2.2 million in the six months to 30 June, up from £1.6 million a year earlier.
It added that the company is on track for full-year core technology revenue growth of between 40% and 60%, in line with previous guidance and supported by a typical weighting towards the second half of the year.
Cost control measures introduced last year have continued to benefit the business, with underlying operating expenses reduced to £9.1 million from £12.8 million in the first half of last year.
Underlying operating loss on a continuing basis also narrowed to £6.9 million, compared with £12.1 million in the same period in 2024.
Cash and cash equivalents stood at £20.5 million at the end of June, up from £8.7 million at the end of December.
In the US, recent regulatory changes have provided a boost to the group’s long-term commercial ambitions.
The introduction of new reimbursement codes for endoscopic procedures is expected to support the adoption of Creo’s next-generation products, including the Speedboat UltraSlim and Speedboat Notch devices.
In June, the company also received clearance from the US Food and Drug Administration for its SpydrBlade Flex, a new endoscopic device designed for precision and adaptability.
Creo also reported progress in the roll-out of its MicroBlate Flex device, used in the treatment of lung tumours.
The group highlighted continued support from clinicians, noting a significant number of papers and case studies featuring its advanced energy devices.
In February, Creo completed the sale of a 51% stake in its European business to Micro-Tech (NL) International, recognising a €36 million investment asset on its balance sheet, which will provide additional financial strength.
The company also expects to complete the sale of part of its Chepstow site for £1.75 million, adding further non-dilutive cash.
The board said it is now working closely with partner Micro-Tech to explore strategic growth opportunities and that trading at its European division is ahead of expectations.