Tristel reports 28% increase in overseas sales

British manufacturer of infection prevention and contamination control products has released interim results for the six months ending 31 December 2017

Tristel plc, the manufacturer of infection prevention and contamination control products, has reported £10.7m revenue for the six months period ending 31 December 2017. The figure is up 10% compared to the same period a year ago when the company recorded £9.7m.

Overseas sales rocketed 28% to £5.4m (2016: £4.2m), representing 50% of total sales (2016: 43%). Tristel said EBITDA, before share-based payments, is up 18% to £2.7m (2016: £2.3m) and that pre-tax profit before share-based payments is up 18% to £2m (2016: £1.7m).

Commenting on current trading, Paul Swinney, Tristel CEO, said: “We are very satisfied with overseas sales growth of 28% and with overseas revenues now accounting for one-half of all revenues. We have increased our pre-tax profit margin, before share-based payments, to 19% from 18% last year, even after costs of £0.5m incurred in the USA regulatory programme. Pre-tax profit before share-based payments has risen by 18% to £2m.”

Operational highlights of this period include the collaboration with MobileODT for the development of a software APP for training and disinfection compliance and direct representation in Hong Kong. The company has paved its way to the American market with additional data requirements of Environmental Protection Agency (EPA) provided.

Swinney explained: “We are progressing steadily with our planned entry into the North American hospital market having satisfied the additional data requirements of the EPA. A decision is expected from the EPA during the second half of this financial year. Our expectation continues to be that sales in North America will start next financial year.”

Commenting on the Asian market, Swinney said: “For many years we have been represented in Hong Kong by distributors and have now decided to employ our team in this market. We expect the increased margin from selling directly to hospitals to exceed operational costs in next financial year. In the second half of this financial year, there will be an exceptional early termination payment to the distributor of approximately £0.2m.”

Tristel’s lead technology is a proprietary chlorine dioxide formulation. The company addresses three distinct markets: The human healthcare market via the Tristel brand, the contamination control market via the Crystel brand and the animal healthcare market via the Anistel brand.

The company released the unaudited interim results for the six months ended 31 December 2017 ahead of guidance at the annual general meeting.

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