Creo Medical Group PLC said it has taken a significant step towards profitability in the first half with underlying losses expected to be 20% lower than in the previous six months and cash burn also down.
Building on the momentum in the final quarter of 2021, the specialist in the emerging field of surgical endoscopy is forecasting a 10% increase in revenues compared with the half-year prior.
"The commercialisation steps achieved so far in 2022 mark an inflexion point for the business, revealing Creo as a global med-tech player with innovative and unique products supported by world-class multijurisdictional training,” said chief executive Craig Gulliford in a trading statement.
Creo is the pioneer of the next generation of minimally invasive surgical technology, bringing advanced energy surgical tools to even smaller spaces while operating via standard flexible endoscopes such as colonoscopes, gastroscopes, duodenoscopes and echoendoscopes.
Its CROMA system, powered by Kamaptive technology, combines both adaptive bipolar radiofrequency (RF) and super high-frequency microwave energy to power surgical instruments.
Its flagship Speedboat product allows interventional endoscopists and surgeons to make an incision, dissection and coagulate the blood with one device obviating the requirement to switch instruments.
The Speedboat products, along with Creo’s MicroBlate ablation technology, and its SlypSeal non-stick sealing device, work from a single advanced energy platform called CROMA.
Its inventor, Creo’s founder and chief technology officer, Professor Chris Hancock, was one of the early engineers at UK innovator Gyrus Group, whose medical advances are now at the heart of many of Olympus’ energy-based surgical devices.
In the latest trading update, investors were told that so far in 2022 the number of clinicians able to provide training on Creo's technology had doubled compared to the previous six months.
This in turn contributed to a 100% increase in both the volume of procedures and regular users of Speedboat Inject internationally over the same period.
Alongside a sharp uptick in Speedboat Inject, Creo has also recently launched a number of additional complementary products, which it currently sells in the UK and Europe.
Taking a closer look at the commercial ramp-up, the med-tech group announced its first Kamaptive licensing agreement in May. This was a long-term, multi-year collaboration agreement with Intuitive to optimise certain Creo products to be compatible with the former’s robotic technology.
"Our clear pipeline and strategy to enhance each one of our revenue streams put us in a very healthy position to continue to drive the business forward and ensure that our advanced technology makes a difference to the lives of as many people as possible, saving healthcare providers time and money in the process,” said CEO Gulliford.