DUBLIN, Ireland and LONDON, England, April 11 /PRNewswire-FirstCall/ --
- Q1 Revenues of Q1 of EUR4.4M up 7% Versus Q1 2005
Alltracel Pharmaceuticals Plc., ("Alltracel", or "the Company"), (AIM:AP.L), the Medical Technology Company focused on the Woundcare, Oralcare and Cardiovascular Health markets today announces preliminary financial results for the year ended 31 December 2005.
2005 Highlights:
- Continued strong revenue growth, losses significantly reduced and positive EBITDA achieved in second half
- 2005 full year revenue growth to EUR19.2M from EUR4.6M in 2004; 2005 revenue includes first time contribution from acquired specialist oral care business Westone
- 2005 EBITDA loss reduced to EUR1.1M from EBITDA loss of EUR4.3M in 2004
- EBITDA positive EUR0.2M in second half of 2005 compared with EBITDA loss of EUR1.3M in first half of 2005
- Reduced full year losses before tax of EUR2.1M compared with full year loss 2004 of EUR5.4M
- Cash at bank of EUR2.1M
- Successful integration of Westone with overall strong commercial progress across the group
- Seamless integration of the acquired specialist inter-dental and oral care company, Westone, with numerous new business wins in core UK, German and US markets
- Significant partnership progress in woundcare with fourteen new m.doc(TM) co-brand partnerships agreed including a key brand leader enterprise deal in China, as well as first time entry into the UK Professional Woundcare market
- Continued Progress in Research & Development in woundcare, oralcare and CVH sectors
- Significant progress on Cardio Vascular Health (CVH) technology development programme in terms of proven cholesterol reduction, blood glucose lowering and probable reverse atherosclerosis effects
- Commencement of sterol and statin combination trials to determine additive efficacy of Alltracel's bio-active technology
- Partnership development of a prototype Nanofibrous m.doc(TM) delivery platform potentially significantly enhancing m.doc(TM) efficacy and efficiency
- Development of late stage prototypes of a number of m.doc(TM) based specialist dental blood control products for professional and consumer markets
- Q1 2006 Trading Opens Strongly
- Q1 2006 Revenues were EUR4.4M up 7% versus Q1 2005
- Final haemostasis efficacy studies on m-doc(TM) based nanofibre woundcare prototypes prove effective and efficient haemostasis
- Two independent scientific studies substantiate wound healing effects and confirm antimicrobial efficacy of a number of Alltracel's oxidised cellulose derivatives
- Successful fundraising of GBP1.1 million before expenses to fund expanded Cardiovascular Health trials programme
Tony Richardson, Chief Executive Officer commented;
"2005 has been a strong year for Alltracel with group revenue continuing its significant growth and with profitability now clearly in sight following the achievement of positive trading in the second half of the year.
In 2005, there was a key focus on improving the overall efficiency of the business whilst ensuring continued revenue growth. We are pleased to have delivered on this promise and the successful integration of the acquired specialist oralcare business Westone and subsequent synergies have been earnings enhancing and have resulted in sustainable cost savings without compromising continued revenue growth. We expect this profitability improvement to continue throughout 2006.
In the specialist oral care market we have continued to build on our strong share of the European private label sector with significant new business wins with both current and new customers in our current stronghold markets of the UK and Germany as well as in the USA. We have also integrated our patented m.doc(TM) stops-bleeding technology into a number of specialist professional and consumer late stage prototype dental care products and these are now undergoing final product development with a number of potential partners.
As we expected, woundcare revenue was lower than 2004 as a result of slow down in 2005 US shipments of our own consumer brand SEAL.ON(TM). This is attributable to our scaling back of active marketing support following discussions with a number of large enterprise level potential partners and as a result of the deliberate decision to tightly manage our cost base. Although SEAL.ON(TM) has been successful for Alltracel in driving awareness of m-doc(TM) with potential partners and effectively creating the 'stops bleeding' market, our focus is now on discussions with potential partners on their interest in our more technologically advanced version of the m.doc(TM) platform for their own brands.
The core m.doc(TM) co-brand business continues to grow in terms of both revenue and partnership footprint in Europe and Asia and here we were delighted to continue to sign significant brand leader agreements in new geographies including Greece, Russia and China. We expect revenues from these deals in the second half of 2006. m.doc(TM) also entered the UK professional healthcare sector with the November announcement of a partnership with a new specialist woundcare company Omscan Ltd.
In our ongoing Research & Development efforts significant progress was made in both the advanced woundcare and cardiovascular health sectors.
We are particularly excited by the prospects for m-doc(TM) based nanofibrous advanced woundcare delivery systems following the signing of a technology and product development agreement with nanofibre technology specialists ELMARCO and subsequent successful prototypes development.
This quarter independent scientific studies have confirmed new wound healing effects and the antimicrobial efficacy of a number of derivatives of our m.doc(TM) based technology. This enhances the technology's attractiveness to potential enterprise partners in both the consumer and professional advanced woundcare sectors.
In the cardiovascular health sector further clinical proof was established throughout the year on the health benefits of our patented PAGA technology specifically in terms of cholesterol reduction, blood glucose level lowering and reverse atherosclerosis. Subsequent commercial discussions with potential partners in both the functional food and pharmaceutical sectors have resulted in the ongoing partnership trials on our bioactive technology in combination with existing commercially available sterols. Similar combination trials with statins have just finished and top-line results will be announced later this month. Technology development and marketing discussions are ongoing with a number of potential partners in the functional food and pharmaceutical markets.
We also strengthened our overall scientific resources through the appointment of Professor Paddy Wall as Chairman of the Scientific Advisory Board in July.
Overall I am very pleased with the significant progress the Company has made this year and Alltracel continues to be well positioned with first class patented technologies, products, partners and people and has now turned the corner in terms of profitability.
Q1 has opened strongly and we are looking forward to an exciting year in which we are committed to building sustainable profitable revenue through a balance of partnership and technology development as well as new market sector entries."
Cautionary Statement Regarding Forward-Looking Statements
This announcement contains forward-looking statements. We have based these forward-looking statements on our current plans, expectations and projections about future events. Words like; "intend", "expect", "seek", "will", "plan", "could", "may", and similar expressions often identify forward-looking statements but are not the only ways of doing so.
Forward-looking statements involve inherent risks and uncertainties arising from factors outside of our control, such as; financial conditions, regulatory developments, technological developments, activities of our competitors and other factors. We caution you that such factors may cause actual results to materially differ from those contained in forward-looking statements.
The forward-looking statements are made only as of the date of this announcement and we do not intend, except as required by law, to update any forward-looking statements to reflect new information or subsequent events or circumstances.
For Further Information Contact: Dublin: Kathy Wray Alltracel: +353-1-235-2162 press@alltracel.com London: Deborah Scott Financial Dynamics: +44-(0)207-831-3113 New York: Sean Leous Financial Dynamics: +1-212-850-5626
Alltracel Pharmaceuticals Plc.CONTACT: For Further Information Contact: Dublin: Kathy Wray - Alltracel:+353-1-235-2162, press@alltracel.com. London: Deborah Scott - FinancialDynamics: +44-(0)207-831-3113. New York: Sean Leous, Financial Dynamics:+1-212-850-5626
