TIDMAMS
RNS Number : 2151S
Advanced Medical Solutions Grp PLC
16 March 2016
16 March 2016
Advanced Medical Solutions Group plc
("AMS" or the "Group")
Unaudited preliminary Results for the year ended 31 December
2015
Continued delivery of strong growth and innovation
Winsford, UK: Advanced Medical Solutions Group plc (AIM: AMS), a
leading developer and manufacturer of advanced products for the
global surgical and wound care markets, today announces its
unaudited preliminary results for the year ended 31 December
2015.
Financial Highlights
2015 2014 Reported Growth
growth at constant
currency(1)
----------------------------- ----- ----- --------- -------------
Group revenue (GBP million) 68.6 63.0 9% 11%
----------------------------- ----- ----- --------- -------------
Adjusted(2) operating
margin (%) 25.4 24.7 70bps -
----------------------------- ----- ----- --------- -------------
Adjusted(2) profit before
tax (GBP million) 17.4 15.6 12% -
----------------------------- ----- ----- --------- -------------
Profit before tax (GBP
million) 17.0 15.2 12% -
----------------------------- ----- ----- --------- -------------
Adjusted(2) diluted
earnings per share (p) 6.86 6.26 10% -
----------------------------- ----- ----- --------- -------------
Diluted earnings per
share (p) 6.68 6.08 10% -
----------------------------- ----- ----- --------- -------------
Net operating cash flow(3) 22.5 18.4 22%
----------------------------- ----- ----- --------- -------------
Net cash (GBP million)(4) 34.2 17.3 98% -
----------------------------- ----- ----- --------- -------------
-- Proposed final dividend of 0.55p per share, making a total
dividend for the year of 0.80p (2014: 0.70p), up 14.3%
Business Highlights:
-- Good sales progress across all Business Units on a constant currency basis;
o Branded Distributed up 37% to GBP14.6 million (2014: GBP10.7
million)(5) , and up 38% at constant currency
o Branded Direct down 3% to GBP22.3 million (2014: GBP23.2
million)(5) , and up 3% at constant currency
o OEM up 10% to GBP27.7 million (2014: GBP25.3 million), and up
8% at constant currency
o Bulk Materials up 2% to GBP3.9 million (2014: GBP3.9 million),
and up 12% at constant currency
-- Strong performance in the US with LiquiBand(R) tissue adhesive range
o Revenues up 79% at constant currency to GBP8.0m (2014: GBP4.1
million)
o As at 31 December 2015, market share by volume(6) increased to
16.8% (July 2015: 11.1%) in the combined hospital and non -
hospital market
-- ActivHeal(R) continued to make good progress in the UK NHS, with an 8% increase in revenue
-- Silver alginate revenues increased by 10% at constant
currency to GBP15.5 million (2014: GBP13.7 million)
-- Hernia mesh fixation device, LiquiBand(R) Fix8(TM), delivered
GBP1.0m of sales in the first full year and launched in 20
countries
-- CE approval for antimicrobial foam including
Polyhexamethylene Biguanide (PHMB) for Europe received on 27 August
2015 with launches expected in 2016
-- FDA approval for two new product claims for the octyl
formulation product, LiquiBand Exceed(TM), giving it a competitive
advantage in the US topical skin adhesive market
-- FDA approval to market suture portfolio in the US in line
with strategy post acquisition of Resorba.
Commenting on the results Chris Meredith, Chief Executive
Officer of AMS, said:
"We have delivered another strong year of growth and are pleased
to report that all of our business units are performing well
despite some challenging currency conditions. The growth in the US
has been markedly strong for AMS where the performance and range of
our LiquiBand(R) tissue adhesives, in particular, is driving market
share gains. We have also been pleased with the number of new
product approvals we have achieved this year, demonstrating the
continuing success of our innovation and we are confident that,
with our strong R&D pipeline, we will continue to deliver
growth."
- End -
(1) Constant currency removes the effect of currency movements
by re-translating the current period's performance at the previous
period's exchange rates
(2) All items are shown before amortisation of acquired
intangible assets which, in 2015, were GBP0.4 million (2014: GBP0.4
million) as defined in the financial review
(3) Operating cash flow is arrived at by taking the operating
profit for the period and adjusting it for depreciation,
amortisation, working capital movements and other non cash
items
(4) Net cash is defined as cash and cash equivalents plus short
term investments less financial liabilities and bank loans
(5) GBP0.4m of sutures for the dental market has been
reclassified from the Branded Direct to the Branded Distributed
segment. The 2014 revenues have been restated to aid comparison
(6) data supplied by Global Healthcare Exchange
For further information, please visit our new website
www.admedsol.com or contact:
Advanced Medical Solutions Group Tel: +44 (0)
plc 1606 545508
Chris Meredith, Chief Executive
Officer
Mary Tavener, Group Finance Director
Consilium Strategic Communications Tel: +44 (0)
20 3709 5700
Mary-Jane Elliott / Jonathan
Birt / Matthew Neal / Hendrik
Thys
Investec Bank PLC (NOMAD & Broker) Tel: +44 (0)
20 7597 5970
Gary Clarence / Daniel Adams
/ Patrick Robb
About Advanced Medical Solutions Group plc
AMS is a world-leading independent developer and manufacturer of
innovative and technologically advanced products for the global
surgical, wound care and wound closure markets, focused on quality
outcomes for patients and value for payors. AMS has a wide range of
products that include silver alginates, alginates, foams, tissue
adhesives, sutures and haemostats, which it markets under its
brands; ActivHeal(R), LiquiBand(R) and RESORBA(R) as well as
supplying under white label.
AMS's products, manufactured out of two sites in the UK, one in
the Netherlands, two in Germany and one in the Czech Republic, are
sold in more than 70 countries via a network of multinational or
regional partners and distributors, as well as via AMS's own direct
sales forces in the UK, Germany, the Czech Republic and Russia.
Established in 1991, the Company has 510 employees. For more
information please see www.admedsol.com.
Chairman's Statement
AMS continues to progress as a leading, international provider
of high quality, high value innovative and technologically advanced
products for the advanced wound care and wound closure markets and
has delivered another year of good growth.
The performance of LiquiBand(R) in the US was particularly
strong. We continue to gain market share and are fast approaching
our initial goal of building a 20% market share with our
LiquiBand(R) range in the US. We are also pleased with the success
of our LiquiBand(R) Fix8(TM) hernia mesh fixation device, our first
device using medical adhesive inside the body. It is now being sold
in 20 countries and has achieved GBP1 million of sales in its first
full year since launch.
We have also received a number of product and market approvals
in the year, demonstrating our continued success in innovation,
with launches planned in 2016, supporting the sales growth in the
Group.
Financially, we are pleased to report a 9% increase in revenue
to GBP68.6 million (2014: GBP63.0 million), representing growth of
11% on a constant currency basis and an increase in adjusted(1)
profit before tax of 12% to GBP17.4 million (2014: GBP15.6
million).
The strong cash flow generation of the Group was again evident
and we ended the year with net cash of GBP34.2 million (2014:
GBP17.3 million). AMS continues to be in robust financial health
and is well positioned to invest in internal and external
opportunities in line with the Group's strategy.
Dividend
The Board is proposing a final dividend of 0.55p per share,
making a total dividend for the year of 0.80p per share, a 14.3%
increase on 2014. If approved at the Annual General Meeting on 2
June 2016, this will be paid on 10 June 2016 to shareholders on the
register at the close of business on 20 May 2016.
People
On behalf of the Board, I would like to thank all of our
employees, customers, suppliers, business partners and shareholders
for their support over the past year in helping AMS achieve its
goals.
Peter Allen
Chairman
(1) All items are shown before amortisation of acquired
intangible assets which, in 2015, were GBP0.4 million (2014: GBP0.4
million) as defined in the financial review
Chief Executive's Statement
I am pleased to report another strong set of results across the
Group.
Branded Distributed
The Branded Distributed Business Unit reports the sales of our
brands through third party distributors.
Branded Distributed revenue was 37% higher at GBP14.6 million
(2014: GBP10.6 million)(5) and 38% higher at constant currency. The
main contributor to this growth was LiquiBand(R) sales in the US,
which accounted for 55% of the business unit's total sales.
LiquiBand(R) in the US
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
Sales of LiquiBand(R) in the US increased by 93% to GBP8.0
million (2014: GBP4.1 million) at reported currency and by 79% at
constant currency. The latest data(2) for December 2015 shows our
volume market share in the US hospital sector increasing to 16.0%,
up from 9% at July 2015, while our volume market share in the US
non-hospital, or alternate site, market is now estimated(2) at
22.2%, increased from 21.5% at June 2015, making an overall market
share of 16.8% (11.1% at July 2015).
The launch of our 2-octyl cyanoacrylate formulation,
LiquiBand(R) Exceed(TM), has extended our portfolio of products and
has contributed to the momentum of growth. We now have a number of
formulations of cyanoacrylate within our marketed LiquiBand(R)
product range, including very fast setting formulations with
applicators allowing for quick, precision closure; film-forming
formulations that are designed to close and provide a protective
barrier layer over wounds as well as formulations that have
properties in between. Our LiquiBand(R) products are now able to
accommodate the full spectrum of wound closing needs, each in
innovatively designed applicators favoured by surgeons.
On 3 November 2015, the FDA approved two new product claims for
LiquiBand Exceed(TM) giving it a competitive advantage in the
topical skin adhesive market. These claims allow AMS and its
distribution partners to differentiate LiquiBand Exceed(TM) from
the market leader on wound coverage, volume of useable glue and
ability to re-use during the same operational procedure, saving
both time and cost. The two new claims include the use of a single
device to cover wounds of up to 30cm in length, as well as a single
device being suitable for intra-operative reuse for up to 90
minutes on a single patient. Both claims are unique for the US
Topical Skin Adhesive Market and will help us to continue to
provide a superior product for clinicians and a versatile solution
for healthcare providers in this key market, helping AMS to further
grow its market share.
LiquiBand(R) in the EU and Rest Of the World
Elsewhere, within the EU and ROW, LiquiBand(R) sales through our
distributors continued to show good growth. France and Italy remain
our largest markets outside the US, UK and Germany. Overall sales
increased by 12% to GBP1.7 million (2014: GBP1.5 million) at
reported currency and constant currency.
The regulatory approval process for LiquiBand(R) in China has
continued to be challenging. Given the difficulties that have been
experienced due to changes in the regulatory pathway, we have
withdrawn our original file and re-started the submission process
with our most recent formulations and designs of LiquiBand(R)
Exceed(TM) and LiquiBand(R) Flowcontrol(TM) and are not expecting
approval in the current year.
Hernia Mesh Fixation device - LiquiBand(R) Fix8(TM)
We have been delighted with the response we have received from
surgeons following the launch of LiquiBand(R) Fix8(TM). Feedback
has been extremely positive about the ease of use of this device
and the benefit it brings to patients regarding the reduced risk of
post operative pain. A number of surgeons have been keen to endorse
the product and we are also receiving valuable feedback about other
possible applications suitable for this type of device on which we
are currently working.
AMS received approval to market this highly innovative product,
LiquiBand(R) Fix 8(TM), in Europe in May 2014. This was the Group's
first application using medical cyanoacrylate technology inside the
body. Through the accurate delivery of individual drops of
cyanoacrylate adhesive, LiquiBand(R) Fix8(TM) is used to hold
hernia meshes in place within the body instead of traditional tacks
and staples. This accurate laparoscopic application of adhesive is
expected to reduce surgical complications, in particular the
potential pain associated with the use of tacks and staples,
thereby improving the patient experience
(2) data supplied by Global Healthcare Exchange
and reducing healthcare costs overall.
We were able to expand the indications of LiquiBand(R) Fix 8(TM)
in May 2015 and the device is now able to be used for the
laparoscopic surgical mesh fixation for all types of abdominal
hernia as well as for the closure of the membrane lining the
abdominal wall (peritoneum). This was the first extension of the
claims of LiquiBand(R) Fix 8(TM) and we expect to develop further
opportunities for this kind of application, broadening the market
for the use of adhesives internally.
In the first full reporting year, GBP1.0 million of LiquiBand(R)
Fix 8(TM) sales have been achieved across the Group, with GBP0.7
million (2014: GBP0.1 million) resulting from sales to
distributors. The product is now launched in 20 countries.
RESORBA(R)
Sales of RESORBA(R) products to all export markets (excluding
Russia) declined by 7% at reported currency to GBP3.1 million
(2014: GBP3.3 million)(3) , but increased by 4% at constant
currency. France and Italy remain our largest markets for export
and good growth was seen in both territorities, offset by a weak
performance in China where sales declined 19%. Sales in Russia
decreased by 10% at constant currency, but decreased 40% to GBP0.8
million (2014: GBP1.3 million) at reported currency, reflecting
both the weak economic conditions within Russia and the impact of
the weak Rouble.
We received approval from the FDA on 4 November 2015 that we had
clearance to market the majority of our suture product portfolio,
successfully adding to our first US suture approval from early
2015. With only one more suture type still awaiting US market
approval, we are now well positioned to launch a comprehensive
range of sutures into the US in mid-2016 through a combination of
our branded and unbranded routes to market. The US surgical suture
market is estimated to be in excess of $1billion in size and is
dominated by a few major brands. Gaining US approval for the
RESORBA(R) product range has been a strategic aim for the Group
since we acquired the business in late 2011, providing a
significant opportunity for AMS in the medium term.
In R&D our focus is on continuing to improve the
formulations of the base monomers that are used in our adhesives as
well as extending the applications of tissue adhesives for other
internal uses.
Branded Direct
The Branded Direct Business Unit reports sales of our branded
products through our own sales forces in the UK, Germany and Czech
Republic. Reported revenue declined 3% to GBP22.3 million (2014:
GBP23.2 million)(3) but grew by 3% at constant currency.
2015 was a year of investment in this Business Unit with a
number of senior management hires and in particular, a new Business
Unit Director was hired in June. As a consequence of these
investments, a number of new initiatives have been put in place to
drive the business forward in 2016.
ActivHeal(R)
ActivHeal(R) , which delivers a high quality range of woundcare
dressings that offer significant cost savings without compromising
on clinical outcomes or patient care, continues to be a compelling
proposition for the NHS. Sales of our ActivHeal(R) range increased
by 8% to GBP6.4 million (2014: GBP6.0 million). We continue to
broaden our product range to the NHS, including our recently
approved anti-microbial and atraumatic foam dressings within our
offering.
LiquiBand(R)
Sales of LiquiBand(R) into the Accident and Emergency Room
('A&E') in the UK fell 13% to GBP2.3 million (2014: GBP2.6
million). We expect the initiatives we have taken to restore growth
in 2016. Sales into the OR increased 17% to GBP0.7 million (2014:
GBP0.6 million).
Sales of LiquiBand(R) in Germany increased 27% at constant
currency to GBP1.6 million and by 13% at reported currency. Within
this, sales of LiquiBand(R) Fix8(TM) contributed GBP0.3 million
(2014: nil).
RESORBA(R)
Sales of RESORBA(R) branded products in Germany and the Czech
Republic were 10% lower at GBP11.3
million (2014: GBP12.5 million)(3) at reported level but flat at
constant currency with some pricing pressure being seen. Within
this sales of haemostats increased by 1% at constant currency to
GBP3.3 million (2014: GBP3.6 million) and sales of sutures and
collagens into the dental market increased 5% at constant curency
to GBP3.1 million, whilst sales of sutures into hospitals fell
2%.
We believe our ability to supply a comprehensive range of high
quality sutures that provide cost savings to hospitals is
compelling, and we are targetting smaller accounts where conversion
will not be seen as such a difficult challenge. This strategy looks
to be proving successful with a number of hospitals already
agreeing to convert their suture ranges in the A&E departments
in 2016.
In R&D, our focus is on extending the attributes of our
collagens to meet the needs of dental practitioners and oral
surgeons as well as including new antibiotics in our
haemostats.
OEM
The OEM Business Unit reports the sales of products that are
sold under third parties' brands.
OEM revenue increased by 10% at reported currency to GBP27.7
million (2014: GBP25.3 million) and by 8% at constant currency.
Our silver alginate ranges of dressings continued to perform
well, with sales increasing by 13% at reported currency and by 10%
at constant currency to GBP15.5 million (2014: GBP13.7 million).
Our partners continued to do well with the range of silver fibre
dressings we provide, gaining market share as well as accessing new
geographical markets. We continue to support them with regulatory
approvals and marketing data.
On 1 September 2015 we received CE approval in Europe for a new
non-adhesive antimicrobial foam dressing containing
Polyhexamethylene Biguanide (PHMB).
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
PHMB has been shown to be effective against several bacteria
including, amongst others, Staphylococcus Aureus including the
methicillin resistant type, (MRSA) and Escherichia Coli (E-Coli).
This antimicrobial foam wound dressing may be used throughout the
healing process on moderate to heavily exuding chronic and acute
wounds that are infected or are at risk of infection and may be
used on pressure ulcers, leg and foot ulcers, diabetic ulcers and
surgical wounds.
In addition, we also now have approval for an atraumatic wound
dressing containing silicone which can be removed from a wound
without damaging the skin. Contracts have been agreed to launch
both the PHMB foam and the atraumatic foam with our OEM partners
and are expected to launch in 2016. We expect that the launch of
our antibiotic foam dressings may result in some initial
substitution of our silver alginate dressings.
Sales of our existing foam-based dressings were flat at GBP1.8
million. With the expansion of our product portfolio, growth is
expected in 2016.
Our other woundcare and skin protectant products delivered good
growth and grew 6% to GBP9.7 million at constant currency (2014:
GBP9.0 million), and 7% at reported currency.
We continue to work on extending our advanced woundcare ranges
by looking to add other antimicrobial products to the range,
improving the absorbancy of the dressings as well as combining a
number of materials to enhance the performance of our
dressings.
Bulk Materials
The Bulk Business Unit reports sales of bulk materials to third
party convertors.
Bulk Materials revenue increased by 2% at reported currency to
GBP3.9 million (2014: GBP3.9 million) and by 12% at constant
currency.
(3) GBP0.4m of sutures for the dental market has been
reclassified from the Branded Direct to the Branded Distributed
segment. The 2014 revenues have been restated to aid
comparison.
Rollstock foam contributed around 86% of Bulk revenue and good
growth was seen by one signficant customer that had destocked in
2014. Sales by some newer and smaller partners are also now
starting to gain traction and are expected to bring benefits in
2016.
In R&D, the focus is on developing new foam formulations
with antimicrobials, working in conjunction with the OEM Business
Unit.
Operations
Efficiency and gross margins
We continue to make operational improvements by reducing set up
times, eliminating non-value added activities and increasing
outputs. These incremental efficiencies are helping to improve
gross margins acoss the Group and have helped to generate an
improvement of approximately 100 basis points in 2015. We have
invested in improving both our converting and packing capability in
Winsford. This equipment has provided increased operational
flexibility, improved efficiency and provided additional
capacity.
Capacity and resource
The capacity of our collagen plant in Germany has been increased
with a new freeze drier and ancillary services. The total cost of
this investment is GBP0.8 million, of which GBP0.2 million was
incurred in 2015. This plant is now fully running, following
commissioning in February 2016 and has increased our collagen
manufacturing capacity by 50%.
We continue to invest in improving our ERP (Enterprise Resource
Planning) management and reporting systems and having already
successfully completed the implementation in Winsford, Plymouth and
Etten Leur facilities, are now working on improvements to our
systems in Germany.
Regulatory and quality assurance
With the regulatory framework becoming increasingly complex, we
have continued to invest in both Regulatory and Quality functions
and systems to ensure that we are able to support our partners with
winning approvals in new markets as well as obtaining approval for
our own products. We have started work on scoping the process to
gain approval to market LiquiBand(R) Fix 8(TM) in the US which will
involve a full Pre Market Approval (PMA) and is likely to take at
least three years. We are also working on identifying the
regulatory pathway to include antibiotics in collagens.
Summary and Outlook
We have delivered a reported revenue growth of 9%, 11% at
constant currency, and improved profitability and cash generation
during the year.
All Business Units have delivered growth at constant currency
with the US sales, in particular, delivering a very strong
performance. We have been very pleased with the successful launch
of our LiquiBand(R) Fix8(TM) hernia mesh fixation device. Sales in
the first year have given us confidence that this product will
drive growth and support our strategy of accessing the OR.
We have also received a number of approvals in the year
demonstrating our continued success with new products and
underlines our commitment to investing in R&D. We expect to
make further advancements in these activities and to launch new
products as a result of our innovation.
We are confident that the Group is well placed to drive growth
and remain excited by the prospects for our future.
Financial Review
Summary
Group revenue increased by 9% to GBP68.6 million (2014: GBP63.0
million). At constant currency, revenue growth would have been
11%.
Comparisons with 2014 are made on a pre-amortisation of acquired
intangible asset cost basis, as we believe that this provides a
more relevant representation of the Group's trading performance.
Amortisation of acquired intangible assets was GBP0.4 million in
the period (2014: GBP0.4 million).
To aid comparison, the Group's adjusted income statement is
summarised in Table 1 below.
Table 1 Year ended Year ended
31 Dec 31 Dec
2015 2014
Adjusted Income Statement GBP'000 GBP'000 % Change
---------------------------- -------------- -------------- ---------
Revenue 68,596 63,010 9%
---------------------------- -------------- -------------- ---------
Gross profit 39,908 35,843 11%
Distribution costs (951) (853)
Administration expenses(3) (22,138) (19,681)
Other income 589 250
---------------------------- -------------- -------------- ---------
Adjusted operating
profit 17,408 15,559 12%
Net finance (costs)
/ income/ (45) 48
---------------------------- -------------- -------------- ---------
Adjusted profit before
tax 17,363 15,607 11%
Amortisation of acquired
intangibles (367) (389)
---------------------------- -------------- -------------- ---------
Profit before taxation 16,996 15,218 12%
Taxation (2,877) (2,354)
---------------------------- -------------- -------------- ---------
Profit for the period 14,119 12,864 10%
---------------------------- -------------- -------------- ---------
Adjusted earnings
per share - basic(4) 6.95p 6.39p 9%
Earnings per share
- basic(4) 6.78p 6.20p 9%
---------------------------- -------------- -------------- ---------
Adjusted earnings
per share - diluted(4) 6.86p 6.26p 10%
Earnings per share
- diluted(4) 6.68p 6.08p 10%
---------------------------- -------------- -------------- ---------
3 Administration expenses exclude amortisation of acquired intangible assets
4 See Note 7 Earnings per share for details of calculation
Revenues were negatively impacted by approximately GBP1.5
million due to the effects of currency movements in the year. This
also had an impact on Group gross margins which were reduced by 30
bps as a result. Gross margins were positively impacted by sales
mix effect by 60bps, as well as the 100bps improvement made from
operational eficiences.
Adjusted operating profit increased by 12% to GBP17.4 million
(2014: GBP15.6 million) and the adjusted operating margin increased
by 70 bps to 25.4% (2014: 24.7%). Administration costs increased by
12% to GBP22.1m (2014: GBP19.7 million) as investments were made in
selling and marketing, particularly to support the Branded Direct
business unit. Within this, the Group expensed to the income
statement GBP1.8 million on R&D (2014: GBP2.1 million). Spend
as a percentage of sales reduced to 2.6% (2014: 3.3%).
Profit before tax for the year was 12% higher at GBP17.0 million
(2014: GBP15.2 million).
The Group's effective rate of tax for the year was 16.9 % (2014:
15.5%). This is reflective of the utilisation of previously
unrecognised brought-forward tax losses in the UK, together with
Patent Box and R&D relief. It also reflects the impact of
blending profits and losses from different countries and the
different tax rates associated with these countries. The effective
tax rate of the Group is expected to increase as the Group is no
longer classified as a Small Medium Enterprise (SME) and will no
longer be able to gain R&D relief at the SME rate from
2017.
A reconciliation between the standard rate of taxation in the UK
and the Group's effective rate is summarised in Table 2 below.
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
Table 2
Taxation %
Standard taxation rate 20.25
Loss utilisation and recognition (1.58)
Impact of differential between UK and
overseas tax rate 2.09
Patent box relief (2.58)
R&D relief (1.91)
Expenses not deductible, prior year adjustments,
depreciation & share based payments 0.65
-------------------------------------------------- -------
Effective taxation rate 16.9
-------------------------------------------------- -------
Earnings (excluding amortisation of acquired intangible assets)
increased by 9% to GBP14.5 million (2014: GBP13.3 million),
resulting in a 9% increase in adjusted basic earnings per share to
6.95p (2014: 6.39p) and a 10% increase in diluted adjusted earnings
per share to 6.86p (2014: 6.26p).
Profit after tax increased by 9% to GBP14.1 million (2014:
GBP12.9 million), resulting in a 9% increase in basic earnings per
share to 6.78p (2014: 6.20p) and a 10% increase in diluted earnings
per share to 6.68p (2014: 6.08p).
The Board is proposing a final dividend of 0.55p per share, to
be paid on 10 June 2016 to shareholders on the register at the
close of business on 20 May 2016. This follows the interim dividend
of 0.25p per share that was paid on 30 October 2015 and would make
a total dividend for the year of 0.80p per share (2014: 0.70p), a
14.3% increase on 2014.
The operational performance of the Business Units is shown in
Table 3 below. The adjusted profit from operations and the adjusted
margin are shown after excluding amortisation of acquired
intangibles. To aid comparison and in determining the operational
margins of the individual Business Units, the revenue of the Bulk
Materials Business Unit sales made to other Business Units of
GBP0.8 million (2014: GBP0.7 milllion) is included.
Table 3
Operating Result by Business Unit
------------------------------------------------------------------------
Year ended 31 December Branded Branded OEM Bulk
2015 Direct Distributed Materials
GBP'000 GBP'000 GBP'000 GBP'000
------------------------ -------- ------------- -------- -----------
Revenue(6) 22,344 14,631 27,674 4,772
Profit from operations 5,235 4,366 7,139 814
Amortisation of
acquired intangibles 214 127 25 -
Adjusted profit
from operations(5) 5,449 4,493 7,164 814
Adjusted operating
margin(5) 24.4% 30.7% 25.9% 17.1%
------------------------ -------- ------------- -------- -----------
Year ended 31 December
2014
Revenue 23,194 10,663 25,275 4,580
Profit from operations 6,012 2,999 6,225 485
Amortisation of
acquired intangibles 227 135 27 -
Adjusted profit
from operations(5) 6,239 3,134 6,252 485
Adjusted operating
margin(5) 26.9% 29.4% 24.7% 10.6%
------------------------ -------- ------------- -------- -----------
(5) excludes amortisation of intangible assets
(6) GBP0.4m of sutures for the dental market has been
reclassified from the Branded Direct to the Branded Distributed
segment. The 2014 revenues have been restated to aid
comparison.
Branded Direct
The adjusted operating margin of this Business Unit reduced to
24.4% (2014: 26.9%) and lower than the position at H1 2015 (26.7%).
Operating margin was reduced partly as a result of some pricing
pressure in Germany as well as the investment we have made in our
direct sales teams which we highlighted at the half year. We expect
the benefit of this investment to start coming through in 2016.
Branded Distributed
The adjusted operating margin of this Business Unit increased to
30.7% (2014: 29.4%), reflecting the improved profitability from the
increase in sales in this Business Unit and, in particular, from
sales to the US. The growth in sales to the US mitigated the impact
in the reduction in margin from sales made into Russia and
continued the improvement in margin seen at H1 2015 (26.5%).
OEM
The adjusted operating margin of this Business Unit was at a
higher level to the prior year at 25.9% (2014: 24.7%), and lower
than the margin reported at H1 2015 (26.8%) due to the mix of
business.
Bulk Materials
The adjusted operating margin of this Business Unit increased to
17.1% (2015: 10.6%), and improved from the position in H1 2015
(12.6%). Margins were affected by the higher volumes of production
and sales.
Geographic breakdown of revenues
The geographic breakdown of Group revenues in 2015 is shown in
Table 4 below:
Table 4
Geographic Breakdown of Group Revenues
---------------------------------------------------
GBP millions 2015 % of 2014 % of
total total
------------------- ----- ------- ----- -------
Europe (excluding
UK & Germany) 19.1 27.8% 18.7 29.7
Germany 13.4 19.5% 14.0 22.3
UK 16.7 24.3% 15.3 24.3
USA 17.8 25.9% 13.8 21.9
Rest of World 1.6 2.3% 1.1 1.8
------------------- ----- ------- ----- -------
47% of the Group's sales are in Europe (excluding the UK),
however, only around 30% of sales are denominated in Euros.
Approximately 85% of all sales to the US are denominated in US
Dollars. The Group hedges significant transactional exposure by
using forward contracts and options, and aims to have 70% of its
estimated transactional exposure for the next twelve months
hedged.
The Group estimates that a 10% movement in GBP:US$ or GBP: Euro
exchange rate will impact Sterling revenues by approximately 2.3%
and 3.0% respectively and in the absence of any cash flow hedging
this would have an impact on profit of 1.3% and 0.1%.
Cash Flow
Table 5 summarises the Group's cash flows.
Table 5
Group Cash Flows
Year ended 31 December 2015 2014
GBP'000 GBP'000
------------------------------------- -------- --------
Adjusted operating profit (Table
1) 17,408 15,559
Non-cash items 3,153 2,993
------------------------------------- -------- --------
EBITDA 20,561 18,552
Working capital movement 1,983 (104)
------------------------------------- -------- --------
Net operating cashflow 22,544 18,448
Capital expenditure and capitalised
R&D (2,675) (2,406)
Net interest (paid)/received (47) 45
Tax paid (1,253) (1,876)
------------------------------------- -------- --------
Free cash flow 18,569 14,211
Dividends paid (1,521) (1,307)
Proceeds from share issues 494 65
Net increase in cash and cash
equivalents 17,542 12,969
------------------------------------- -------- --------
Note: EBITDA is earnings before interest, tax, depreciation,
intangible asset amortisation and share based payments
EBITDA increased by 11% to GBP20.6 million (2014: GBP18.6
million).
Working capital decreased in the year mainly due to the effects
of translating overseas working capital balances held in Euros into
Sterling. Inventory across the group slightly increased to 4.4
months of supply (2014: 4.2 months of supply). Trade debtor days
were slightly lower than the prior year at 41 days (2014: 42 days)
while trade payable days decreased slightly to 34 days (2014: 36
days).
The Group generated net cash from operating activities of
GBP22.5 million (2014: GBP18.4 million) (see Table 5) and had net
cash of GBP34.2 million (2014: GBP17.3 million) at the end of the
year.
We invested GBP2.7 million in capital equipment, software and
capitalised R&D in the year (2014: GBP2.4 million). We have
invested in equipment around the Group that improves converting and
packaging in Winsford as well increasing capacity in Germany.
The Group generated a free cash flow of GBP18.6 million in the
year (2014: GBP14.2 million). The conversion of adjusted operating
profit into free cash flow was 107% (2014: 91%).
The Group paid its final dividend for the year ended 31 December
2014 of GBP0.94 million (2014: for the year ending 2013, GBP0.85
million) on 29 May 2015, and its interim dividend for the six
months ended 30 June 2015 of GBP0.59 million (2014: GBP0.46
million) on 30 October 2015.
In December 2014 the Group entered into a new, five-year, GBP30
million, multi-currency revolving credit facility with an accordion
option under which AMS can request up to an additional GBP20
million on the same terms. The previous facility for GBP4 million
was due to expire in 2015. The Group chose to take advantage of
favourable credit conditions to put in place a more suitable
facility to support its growth ambitions. The new facility is
provided jointly by the Group's existing bankers, HSBC, as well as
The Royal Bank of Scotland. It is unsecured and has not been drawn
down. This facility carries an annual interest rate of LIBOR or
EURIBOR plus a margin that varies between 0.65% and 1.75% depending
on the Group's net debt to EBITDA ratio.
At the end of the period, the Group had net cash of GBP34.2
million (2014: GBP17.3 million). The movement in net cash from the
start of the year to net cash at the end of the year is reconciled
in Table 6 below:
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
Table 6
Movement in net cash GBP'000
--------------------------------- --------
Net cash as at 1 January 2015 17,280
Exchange rate impacts (621)
Free cash flow 18,569
Dividends paid (1,521)
Proceeds from share issues 494
Net cash as at 31 December 2015 34,201
--------------------------------- --------
The Group's going concern position is fully described in note
2.
CONSOLIDATED INCOME STATEMENT
(Unaudited) (Audited)
Year ended 31 2015 2014
December
Total Total
Note GBP'000 GBP'000
------------------------ ----- ------------ ----------
Revenue from
continuing operations 4 68,596 63,010
Cost of sales (28,688) (27,167)
------------------------- ----- ------------ ----------
Gross profit 39,908 35,843
Distribution
costs (951) (853)
Administration
costs (22,505) (20,070)
Other income 589 250
------------------------- ----- ------------ ----------
Profit from
operations 4,5 17,041 15,170
Finance income 73 49
Finance costs (118) (1)
------------------------- ----- ------------ ----------
Profit before
taxation 16,996 15,218
Income tax 6 (2,877) (2,354)
------------------------- ----- ------------ ----------
Profit attributable
to equity holders
of the parent 14,119 12,864
-------------------------
Earnings per
share
Basic 7 6.78p 6.20p
Diluted 7 6.68p 6.08p
Adjusted diluted 7 6.86p 6.26p
------------------------- ----- ------------ ----------
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(Unaudited) (Audited)
Year ended 31 December 2015 2014
GBP'000 GBP'000
------------------------------------- ------------ ----------
Profit for the year 14,119 12,864
Items that may be reclassified
subsequently to profit and loss:
Exchange differences on translation
of foreign operations (3,348) (4,200)
Loss arising on cash flow hedges (3) (1,173)
------------------------------------- ------------ ----------
Other comprehensive expense for
the year (3,351) (5,373)
------------------------------------- ------------ ----------
Total comprehensive income for
the year attributable to equity
holders of the parent 10,768 7,491
------------------------------------- ------------ ----------
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(Unaudited) (Audited)
At 31 December 2015 2014
GBP'000 GBP'000
-------------------------------- ------------ ----------
Assets
Non-current assets
Acquired intellectual property
rights 8,359 9,238
Software intangibles 2,009 1,835
Development costs 1,803 1,850
Goodwill 34,579 36,696
Property, plant and equipment 15,795 16,003
Deferred tax assets 135 1,108
Trade and other receivables 13 22
-------------------------------- ------------ ----------
62,693 66,752
Current assets
Inventories 8,843 7,532
Trade and other receivables 10,817 12,969
Current tax assets 9 -
Cash and cash equivalents 34,201 17,280
-------------------------------- ------------ ----------
53,870 37,781
-------------------------------- ------------ ----------
Total assets 116,563 104,533
-------------------------------- ------------ ----------
Liabilities
Current liabilities
Trade and other payables 9,139 7,649
Current tax liabilities 806 584
Other taxes payable 234 259
Obligations under finance
leases 1 2
------------
10,180 8,494
Non-current liabilities
Trade and other payables 415 472
Deferred tax liabilities 2,311 2,513
Obligations under finance
leases - 1
2,726 2,986
-------------------------------- ------------ ----------
Total liabilities 12,906 11,480
-------------------------------- ------------ ----------
Net assets 103,657 93,053
-------------------------------- ------------ ----------
Equity
Share capital 10,451 10,393
Share premium 33,196 32,742
Share-based payments reserve 2,253 1,563
Investment in own shares (152) (148)
Share-based payments deferred
tax reserve 437 278
Other reserve 1,531 1,531
Hedging reserve (525) (522)
Translation reserve (8,215) (4,867)
Retained earnings 64,681 52,083
-------------------------------- ------------ ----------
Equity attributable to equity
holders of the parent 103,657 93,053
-------------------------------- ------------ ----------
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Attributable to equity holders of the Group
Share Investment Share
based
Share Share based in own payments Other Hedging Translation Retained
capital premium payments shares deferred reserve reserve reserve earnings Total
tax
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
--------
At 1 January
2014
(audited) 10,343 32,364 1,326 (144) 158 1,531 651 (667) 40,526 86,088
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
Consolidated
profit
for the year
to 31
Dec 2014 - - - - - - - - 12,864 12,864
Other
comprehensive
income - - - - - - (1,173) (4,200) - (5,373)
---------------
Total
comprehensive
income - - - - - - (1,173) (4,200) 12,864 7,491
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
Share based
payments - - 592 - 120 - - - - 712
Share options
exercised 50 378 (355) - - - - - - 73
Shares
purchased by
EBT - - - (190) - - - - - (190)
Shares sold by
EBT - - - 186 - - - - - 186
Dividends paid - - - - - - - - (1,307) (1,307)
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
At 31 December
2014
(audited) 10,393 32,742 1,563 (148) 278 1,531 (522) (4,867) 52,083 93,053
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
Consolidated
profit
for the year
to 31
Dec 2015 - - - - - - - - 14,119 14,119
Other
comprehensive
income - - - - - - (3) (3,348) - (3,351)
---------------
Total
comprehensive
income
(unaudited) - - - - - - (3) (3,348) 14,119 10,768
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
Share based
payments - - 709 - 159 - - - - 868
Share options
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
exercised 58 454 (19) - - - - - - 493
Shares
purchased by
EBT - - - (262) - - - - - (262)
Shares sold by
EBT - - - 258 - - - - - 258
Dividends paid - - - - - - - - (1,521) (1,521)
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
At 31 December
2015
(unaudited) 10,451 33,196 2,253 (152) 437 1,531 (525) (8,215) 64,681 103,657
--------------- -------- -------- --------- ----------- --------- -------- -------- ------------ --------- --------
CONSOLIDATED STATEMENT OF CASH FLOWS
(Unaudited) (Audited)
Year ended 31 December 2015 2014
GBP'000 GBP'000
------------------------------------------------ ------------ ----------
Cash flows from operating
activities
Profit from operations 17,041 15,170
Adjustments for:
Depreciation 1,745 1,750
Amortisation - intellectual
property rights 367 389
- development costs 410 331
- software intangibles 289 228
Impairment of development
costs - 92
(Increase) / decrease in
inventories (1,501) 221
Decrease / (increase) in
trade and other receivables 2,148 (1,623)
Increase in trade and other
payables 1,336 1,298
Share based payments expense 709 592
Taxation (1,253) (1,876)
Net cash inflow from operating
activities 21,291 16,572
------------------------------------------------ ------------ ----------
Cash flows from investing
activities
Purchase of software (472) (408)
Capitalised research and
development (373) (581)
Purchases of property, plant
and equipment (1,907) (1,478)
Disposal of property, plant
and equipment 77 61
Interest received 73 50
Net cash used in investing
activities (2,602) (2,356)
------------------------------------------------ ------------ ----------
Cash flows from financing
activities
Dividends paid (1,521) (1,307)
Finance lease (2) (4)
Issue of equity shares 498 69
Shares purchased by EBT (262) (190)
Shares sold by EBT 258 186
Interest paid (118) (1)
Net cash used in financing
activities (1,147) (1,247)
------------------------------------------------ ------------ ----------
Net increase in cash and
cash equivalents 17,542 12,969
Cash and cash equivalents
at the beginning of the year 17,280 5,257
Effect of foreign exchange
rate changes (621) (946)
Cash and cash equivalents
at the end of the year 34,201 17,280
------------------------------------------------ ------------ ----------
Notes Forming Part of the Condensed Consolidated Financial
Statements
1. Reporting entity
Advanced Medical Solutions Group plc ("the Company") is a public
limited company incorporated and domiciled in England and Wales
(registration number 2867684). The Company's registered address is
Premier Park, 33 Road One, Winsford Industrial Estate, Cheshire,
CW7 3RT.
The Company's ordinary shares are traded on the AIM market of
the London Stock Exchange plc. The consolidated financial
statements of the Company for the twelve months ended 31 December
2015 comprise the Company and its subsidiaries (together referred
to as the "Group").
The Group is primarily involved in the design, development and
manufacture of novel high performance polymers (both natural and
synthetic) for use in advanced woundcare dressings and materials,
and medical adhesives and sutures for closing and sealing tissue,
for sale into the global medical device market and dental
market.
2. Basis of preparation
These condensed unaudited consolidated financial statements have
been prepared in accordance with the accounting policies set out in
the annual report for the year ended 31 December 2014.
While the financial information included in this preliminary
announcement has been prepared in accordance with the recognition
and measurement criteria of International Financial Reporting
Standards (IFRSs), as adopted for use in the EU, this announcement
does not itself contain sufficient information to comply with
IFRSs. The Group expects to publish full financial statements that
comply with IFRSs in April 2016.
The financial information set out in the announcement does not
constitute the Group's statutory accounts for the years ended 31
December 2015 or 31 December 2014. The financial information for
the year ended 31 December 2014 is derived from the statutory
accounts for that year, which have been delivered to the Registrar
of Companies. The auditor reported on those accounts; their report
was unqualified, did not draw attention to any matters by way of
emphasis without qualifying their report and did not contain a
statement under s498 (2) or (3) Companies Act 2006. The audit of
the statutory accounts for the year ended 31 December 2015 is not
yet complete. These accounts will be finalised on the basis of the
financial information presented by the directors in this
preliminary announcement and will be delivered to the Registrar of
Companies following the Group's annual general meeting.
The financial statements have been prepared on the historical
cost basis of accounting except as disclosed in the accounting
policies set out in the annual report for the year ended 31
December 2014.
With regards to the Group's financial position, it had cash and
cash equivalents at the year end of GBP34.2 million. The Group also
has in place a five-year, unsecured, new multi-currency, credit
facility for GBP30 million which was undrawn in 2015.
While the current economic environment is uncertain, the Group
operates in markets whose demographics are favourable, underpinned
by an increasing need for products to treat chronic and acute
wounds. Consequently, market growth is predicted. The Group has a
number of long-term contracts with customers across different
geographic regions and also with substantial financial resources,
ranging from government agencies through to global healthcare
companies.
Having taken the above into consideration the Directors have
reached a conclusion that the Group is well placed to manage its
business risks in the current economic environment. Accordingly,
they continue to adopt the going concern basis in preparing the
preliminary announcement.
In the current year, the group has adopted the following new
standards and interpretations: IFRS10 Consilidated Financial
Statements, IFRS 11 Joint arrangements, IFRS12 Disclosue of
Interests in Other Entities, Amendments to IAS27 Separate Financial
Statements, IAS28 Investments in Associates and Joint Ventures,
Amendments to IAS 32 and IFRS7 for Offsetting Financial Assets and
Liabilities. The adoption of the new standard and amendments have
had no significant impact in the financial statements of the
Group.
At the date of authorisation the following standards and
interpretations, which have not been applied in these financial
statements, were in issue but not yet effective: IAS19 Defined
Benefit Plans: Employee Contributions, IFRS 9 Financial
Instruments, IFRS 15 Revenue from Contracts with Customers, IFRS16
Leases, Amendments to IAS 36 and Amendments to IAS39. The Directors
anticipate that the adoption of these standards and interpretations
will have no material impact on the financial statements of the
Group.
3. Accounting policies
The same accounting policies, presentations and methods of
computation are followed in the condensed set of financial
statements as applied in the Group's latest annual audited
financial statements. The annual financial statements of Advanced
Medical Solutions Group plc are prepared in accordance with
International Financial Reporting Standards as adopted by the
European Union.
4. Segment information
As referred to in the Chief Executive's Report, the Group is
organised into four business units: Branded Direct, Branded
Distributed, OEM (original equipment manufacturer) and Bulk
Materials. These business units are the basis on which the Group
reports its segment information.
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
Segment results, assets and liabilities include items directly
attributable to a segment as well as those that can be allocated on
a reasonable basis. Unallocated items comprise mainly investments,
and related revenue, corporate assets, head office expenses and
income tax assets. These are the measures reported to the Group's
Chief Executive for the purposes of resource allocation and
assessment of segment performance.
Business segments
Segment information about these businesses is presented
below.
Year ended Branded Branded OEM Bulk Eliminations Consolidated
31 December Direct Distributed Materials
2015
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
--------------- -------- ------------- -------- ----------- ------------- -------------
Revenue
External
sales 22,344 14,631 27,675 3,946 - 68,596
Inter segment
sales 826 (826) -
--------------- -------- ------------- -------- ----------- ------------- -------------
Total revenue 22,344 14,631 27,675 4,772 (826) 68,596
--------------- -------- ------------- -------- ----------- ------------- -------------
Result
---------------- ------ ------ ------ ---- --------
Segment result 5,235 4,366 7,139 814 - 17,554
Unallocated
expenses (513)
--------
Profit from
operations 17,041
Finance income 73
Finance costs (118)
---------------- ------ ------ ------ ---- --------
Profit before
tax 16,996
Tax (2,877)
---------------- ------ ------ ------ ---- --------
Profit for
the year 14,119
---------------- ------ ------ ------ ---- --------
At 31 December Branded Branded OEM Bulk Consolidated
2015 Direct Distributed Materials
Other Information GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
------------------------ -------- ------------- -------- ----------- -------------
Capital additions:
Software intangibles 111 15 333 13 472
Research & development 102 67 200 4 373
Property, plant
and equipment 730 332 663 182 1,907
Depreciation
and amortisation (855) (431) (1,309) (217) (2,812)
------------------------ -------- ------------- -------- ----------- -------------
Balance sheet
Assets
Segment assets 57,317 20,948 32,774 5,359 116,398
Unallocated assets 165
------------------------ -------- ------------- -------- ----------- -------------
Consolidated
total assets 116,563
------------------------ -------- ------------- -------- ----------- -------------
Liabilities
Segment liabilities 5,353 2,888 3,930 735 12,906
Consolidated
total liabilities 12,906
------------------------ -------- ------------- -------- ----------- -------------
Year ended Branded Branded OEM Bulk Eliminations Consolidated
31 December Direct Distributed Materials
2014
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
--------------- -------- ------------- -------- ----------- ------------- -------------
Revenue
External
sales(7) 23,194 10,663 25,275 3,878 - 63,010
Inter-segment
sales 702 (702) -
--------------- -------- ------------- -------- ----------- ------------- -------------
Total revenue 23,194 10,663 25,275 4,580 (702) 63,010
--------------- -------- ------------- -------- ----------- ------------- -------------
Result
---------------- ------ ------ ------ ---- --------
Segment result 6,012 2,999 6,225 485 - 15,721
Unallocated
expenses (551)
--------
Profit from
operations 15,170
Finance income 49
Finance costs (1)
---------------- ------ ------ ------ ---- --------
Profit before
tax 15,218
Tax (2,354)
---------------- ------ ------ ------ ---- --------
Profit for
the year 12,864
---------------- ------ ------ ------ ---- --------
(7) 0.4m of sutures for the dental market has been reclassified
from the Branded Direct to the Branded Distributed segment
As at 31 December Branded Branded OEM Bulk Consolidated
2014 Direct Distributed Materials
Other Information GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
------------------------ -------- ------------- -------- ----------- -------------
Capital additions:
Software intangibles 88 11 272 37 408
Research & development 200 113 262 6 581
Property, plant
and equipment 586 179 617 96 1,478
Depreciation
and amortisation (903) (356) (1,188) (251) (2,698)
------------------------ -------- ------------- -------- ----------- -------------
Balance sheet
Assets
Segment assets 54,442 19,755 26,024 4,104 104,325
Unallocated assets 208
------------------------ -------- ------------- -------- ----------- -------------
Consolidated
total assets 104,553
------------------------ -------- ------------- -------- ----------- -------------
Liabilities
Segment liabilities 5,257 2,159 3,531 533 11,480
------------------------ -------- ------------- -------- ----------- -------------
Consolidated
total liabilities 11,480
------------------------ -------- ------------- -------- ----------- -------------
Geographic segments
The Group operates mainly in the UK, the Netherlands, Germany,
the Czech Republic and Russia, with a sales office located in the
USA. In presenting information on the basis of geographical
segments, segment revenue is based on the geographical location of
customers. Segment assets are based on the geographical location of
the assets.
The following table provides an analysis of the Group's sales by
geographical market, irrespective of the origin of the
goods/services, based upon location of the Group's customers:
Year ended 31 December 2015 2014
GBP'000 GBP'000
--------------------------------- -------- --------
United Kingdom 16,657 15,308
Germany 13,371 14,042
Europe excluding United Kingdom
and Germany 19,223 18,747
United States of America 17,766 13,786
Rest of World 1,579 1,127
--------------------------------- -------- --------
68,596 63,010
--------------------------------- -------- --------
The following table provides an analysis of the Group's total
assets by geographical location.
As at 31 December 2015 2014
GBP'000 GBP'000
--------------------------------- -------- --------
United Kingdom 62,785 46,049
Germany 50,592 52,887
Europe excluding United Kingdom
and Germany 3,060 5,506
United States of America 126 91
--------------------------------- -------- --------
116,563 104,533
--------------------------------- -------- --------
5. Profit from operations
Year ended 31 December 2015 2014
GBP'000 GBP'000
----------------------------------------------------- -------- --------
Profit from operations is
arrived at after charging
/ (crediting):
Depreciation of property,
plant and equipment 1,754 1,750
Amortisation of:
- acquired intellectual property
rights 367 389
- software intangibles 289 228
- development costs 393 331
Operating lease rentals -
plant and machinery 250 228
(MORE TO FOLLOW) Dow Jones Newswires
March 16, 2016 03:01 ET (07:01 GMT)
Advanced Medical Solutions (LSE:AMS)
Historical Stock Chart
From Mar 2024 to Apr 2024
Advanced Medical Solutions (LSE:AMS)
Historical Stock Chart
From Apr 2023 to Apr 2024
