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Pharma & Biotech

Tissue Regenix says first-half losses narrow on sales growth, cost management

Revenue for the company's BioRinse division jumped 32% to US$7.8mln

Tissue Regenix Group PLC (AIM:TRX, OTC:TSSNF) said its underlying losses narrowed in the first half due to sales growth across all divisions and tight cost management

Adjusted EBITDA losses for the regenerative medical devices company shrank to US$0.5mln from US$1.5mln in the year-earlier period.

Revenues, which were previously announced, grew 25% to US$11.8mln.

READ: Tissue Regenix confident of meeting full-year expectations after solid first half

Sales at the company's BioRinse division jumped 32% to US$7.8mln, helped by a strong underlying performance in the US, while revenue for its reorganised dCELL division rose 14% to US$2.4mln. The group’s GBM-V German joint venture saw its revenue grow 13%.

Tissue Regenix noted that the Phase 1 expansion of its San Antonio facility has provided more capacity than originally anticipated and revenue potential for the group of more than US$40mln, about U$10mln more than originally stated.

"We are extremely pleased with the group's H1 2022 commercial performance and how we are positioned for the second half of 2022,” said Tissue Regenix chief executive Daniel Lee in the results statement. “Our increased capacity and efficiency improvements have given us much more operational flexibility.”

The AIM-traded company said its cash position of US$6.2mln as of end-June 2022 supported its current business growth plan. It also noted that the markets were still rebounding to pre-COVID-19 levels.

“The board remains optimistic about the future growth of the business and is encouraged by the increase in sales in H1 2022 in the face of this adversity, as well as the planned additions to the group's product portfolio that are expected to deliver growth and revenue opportunities in future periods,” said the company's chairman Jonathan Glenn.

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