PuriCore identifies growth opportunities for Health Sciences business
Sales of Endoscopy business in June 2014 will help fund this growth
PuriCore, a UK-based specialist in developing solutions to protect against the spread of infectious pathogens, has identified new growth opportunities in its Health Sciences business and has the resources to fund this growth following the sale of its Endoscopy business in June 2014 for US$25.7m.
Michael Ashton, Chief Executive of PuriCore, announcing a trading update to 31 December, said 2014 was a year of significant change for the company. Not only did it complete the sale of its Endoscopy business but it also advanced the diversification of its Supermarket Retail business model to increase revenue and drive greater consistency.
The company also undertook a broad-ranging strategic and operational review.
‘We are excited about the plans we have begun to put in place and can see early signs of traction. However, much remains to be done,’ said Ashton.
Growth opportunities continue to centre on leveraging PuriCore's patented hypochlorous acid technology in areas where it delivers a competitive advantage, he said.
These include new products and applications, in addition to geographic expansion.
‘We intend to invest prudently in the growth of our existing business and in these initiatives, while implementing focused cost management plans. We look forward to unveiling further details during the course of this year as our evaluation of opportunities advances,’ he said.
Ashton plans to retire from PuriCore by the AGM in June 2015, and said the Board is progressing the search for his replacement.
‘The successful candidate will be joining the business at an exciting juncture as it is poised to capitalise on many new initiatives,’ he said.
Group revenue to 31 December 2014 declined to US$17.1m (2013: $31.5m), as expected.
This reflects a much lower proportion of capital sales in the year and changes to the Supermarket Retail business model.
Health Sciences revenue was $1.5m (2013: $1.8m excluding $0.8m of milestone payments) primarily due to changes in distribution agreements for wound care.
Supermarket Retail revenue was $15.6m (2013: $28.9m).
EBITDA showed a loss of $4.9m (2013 loss: $0.6m).
