- Consolidated sales of €48.1 million, +3.9% at constant exchange
rates
- EBITDA down 9.0% to €9.9 million with a margin of 20.5%
- Recurring Operating Profit of €1.9 million
- Cash and cash equivalents of €24.6 million at December 31,
2021
Regulatory news:
Amplitude Surgical (ISIN: FR0012789667, Ticker: AMPLI, eligible
for PEA-PME plans) (Paris:AMPLI), leading French player on the
surgical technology market for lower-limb orthopedics, announces
its results for the first half of its 2021-22 financial year to
December 31, 2021.
Olivier Jallabert, Amplitude Surgical’s CEO, said:
“During the first half of our 2021-22 financial year, Amplitude
Surgical recorded a 3.9% increase in sales at constant exchange
rates. The decrease in the gross margin was a consequence of a
weaker level of industrial activity than in the first half of
2020-2021 combined with an increase in Sales & Marketing
expenses in foot and ankle activities, leading to a 9.0% fall in
EBITDA to €9.9 million. The Recurring Operating Profit was €1.9
million, a slight decrease on the previous year”.
Financial summary – actual exchange rates:
€m - IFRS
H1 2021-22
H1 2020-21
Δ
Sales
48,099
45,909
4.8%
Gross margin
35,455
34,939
1.5%
as a % of sales
73.7%
76.1%
-240 bps
Sales & Marketing costs
18,629
16,413
+13.5%
General & Administrative costs
5,508
6,225
-11.5%
Research & Development costs
1,466
1,469
-0.2%
EBITDA
9,852
10,832
-9.0%
as a % of sales
20.5%
23.6%
-310 bps
Recurring Operating Profit
1,879
2,042
Non-recurring operating
income/expenses
-326
-887
Operating profit/loss
1,553
1,156
Financial profit/loss
-4,321
-6,220
Net profit/loss – Group share
-2,833
-4,984
Net financial debt
119,482
114,521
Cash position at end of period
24,628
36,497
EBITDA down 9.0% with a gross margin of 20.5%
In the first half of its 2021-22 financial year (from July to
December 2021), Amplitude generated sales of €48.1 million, up 4.8%
in actual terms and 3.9% at constant exchange rates compared with
the previous year. Despite this improvement, activity continued to
be negatively affected by the public health situation associated
with the COVID-19 pandemic, notably knee and hip activity.
- Knee and hip activity was stable, with sales up 0.3% in
actual terms and down 0.3% at constant exchange rates. Following a
first quarter that was down on the previous year, notably impacted
by lower operating room availability in France, the beginning of
the second quarter (from mid-October to mid-November) saw an upturn
in the sales momentum with fewer restrictions associated with the
public health situation than the previous year. However, this
rebound was slowed down again from the beginning of December
following the increase in COVID-19 contaminations. Overall, during
the first half, the health situation and reduced availability of
operating rooms and medical personnel are continuing to have a
considerable negative impact on activity.
- Novastep, innovative solutions for foot and ankle
surgery, generated strong growth over the half with sales totaling
€7.9 million (+33.1% at constant exchange rates), driven by the
United States. Novastep’s activity now accounts for 16.4% of total
Group sales.
Amplitude Surgical recorded a gross margin of 73.7% over the
half, down 240 bps, impacted by the weaker dynamism of its
industrial activities compared with first half of 2020-2021 and a
negative change in the euro compared to the currencies of the
Group’s international distribution subsidiaries.
The Group’s operating expenses totaled €25.6 million, up 6.2%
compared with end-December 2020.
Sales & Marketing costs increased by 13.5% due to the growth
in Novastep’s foot and ankle activities.
General & Administrative costs decreased by 11.5% to €5.5
million, with the Group continuing its efforts to control costs in
a commercial environment that has been significantly disrupted by
the public health situation.
In the first half of 2021/2022, Research & Development
expenses represented 3.0% of sales and were stable, in absolute
value, compared with the first half of the previous year.
Amplitude Surgical had a workforce of 453 staff at the end of
December 2021, versus 443 at end-June 2021 and 442 at end-December
2020. Personnel costs were up 5.9% compared with H1 2020-2021.
EBITDA was thus €9.9 million, down 9.0%, with a margin of 20.5%,
down 310 bps compared with the first half of 2020-21.
The Group generated a Recurring Operating Profit of €1.9 million
over the half, versus €2.0 million in the first half of 2020/2021,
the positive sales trend being offset by a lower margin and the
increase in Sales & Marketing expenses. The Operating Profit
was €1.6 million, versus €1.2 million in H1 2020/2021.
The Financial Result was -€4.3 million and consisted primarily
of an interest expense of €4.8 million and the booking of a net
currency gain of €0.7 million at end-December 2021.
Financial structure: cash of €24.6 million at the end of
2021
The net cash flow generated by operating activity was a positive
€1.7 million over the half, versus a negative €1.0 million in the
first half of 2020-21.
Investments totaled €4.9 million in the first half of 2021-22
versus €4.3 million in the first half of the previous year.
At end-December 2021, the Group had cash and cash equivalents of
€24.6 million. Its Net Financial Debt was €119.5 million, giving
gearing (Net Financial Debt over Shareholders’ Equity) of 2.19,
compared with 2.04 at the end of June 2021.
Key first-half events
- Divestment of two Group subsidiaries
- On July 23, 2021, the Group divested 100% of its Amplitude
Ortho SRL subsidiary (Romania) to GBG MLD SRL, the distributor of
the Group’s products in Moldova. The divested company will continue
to market the Group’s products on the Romanian market as a
distributor.
- With its growth failing to meet expectations, on August 13,
2021 the Group divested 80% of its Matsumoto Amplitude Inc.
subsidiary (Japan) to Mr. Takeshi Matsumoto, who already held 20%
of this subsidiary through his company Matsumoto Medical. Following
this divestment, the subsidiary’s new shareholders initiated it
winding up.
- URSSAF audits on tax on the promotion of medical
devices
- On January 27, 2022, the Grenoble Court of Appeal rejected
Amplitude SAS’ request to invalidate the adjustment with regard to
tax on the promotion of medical devices for the period from July 1,
2014 to June 30, 2017. The amount of this adjustment is €5.8
million. All these elements have been fully provisioned in the
Group’s accounts. Amplitude SAS will appeal this decision in the
Court of Cassation.
- On September 21, 2021, the Group received a letter of
adjustment from URSSAF following a fourth audit pertaining to tax
on the promotion of medical devices for the period from July 1,
2017 to June 30, 2020. This letter of adjustment would lead to the
repayment of social contribution arrears of €5.9 million, a sum
already provisioned in the Group’s accounts in previous financial
years. As with its previous disputes, the Group has formulated its
observations and will table a request with the URSSAF’s Amicable
Settlement Board.
Should this request be rejected, the Group will ask the Valence
Superior Court (Tribunal de Grande Instance) to invalidate the
adjustment.
- Dispute with Zimmer Biomet
- On November 4, 2021, the Grenoble Court of Appeal rejected the
case filed by Zimmer Biomet in the dispute pertaining to alleged
unfair competition and ordered the latter to pay €25,000 to
Amplitude SAS with respect to article 700 of the Code of Civil
Procedure. Zimmer Biomet has decided to lodge an appeal with the
Court of Cassation.
Outlook
- The Group has no commercial exposure in Ukraine or Russia. Its
exposure is limited to changes in energy costs and the price of raw
materials, notably titanium, that impact product manufacturing
costs.
- The improvement of the sanitary situation in France since
February has allowed since the beginning of March, a return of the
market closer to normal.
Availability of the financial report
Amplitude Surgical has made its half-year financial report to
December 31, 2021 available to the public and filed it with the AMF
French stock market authorities.
This half-year financial report can be found on Amplitude
Surgical’s website at www.amplitude-surgical.com/fr, in the
“Documentation / Financial Report” section.
Next financial press release:
Sales for the first 9 months of 2021-22, on Thursday April
21, 2022 (after market).
About Amplitude Surgical
Founded in 1997 in Valence, France, Amplitude Surgical is a
leading French player on the global surgical technology market for
lower-limb orthopedics. Amplitude Surgical develops and markets
high-end products for orthopedic surgery covering the main
disorders affecting the hip, knee and extremities, and notably foot
and ankle surgery. Amplitude Surgical develops, in close
collaboration with surgeons, numerous high value-added innovations
in order to best meet the needs of patients, surgeons and
healthcare facilities. A leading player in France, Amplitude
Surgical is developing abroad through its subsidiaries and a
network of exclusive distributors and agents distributing its
products in more than 30 countries. Amplitude Surgical operates on
the lower-limb market through the intermediary of its Novastep
subsidiaries in France and the United States. At June 30, 2021,
Amplitude Surgical had a workforce of 443 employees and recorded
sales of nearly 95.5 million euros.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220323005478/en/
Amplitude Surgical Dimitri Borchtch CFO finances@amplitude-surgical.com
+33 (0)4 75 41 87 41
NewCap Investor
Relations Mathilde
Bohin/Thomas Grojean amplitude@newcap.eu +33 (0)1 44 71 94
94
NewCap Media
Relations Nicolas
Merigeau amplitude@newcap.eu +33 (0)1 44 71 94 98
Amplitude Surgical (EU:AMPLI)
Historical Stock Chart
Von Mär 2024 bis Apr 2024
Amplitude Surgical (EU:AMPLI)
Historical Stock Chart
Von Apr 2023 bis Apr 2024
