SomnoMed Limited Reports Sales Results for the Month, Second Quarter and Six Months Ended December 2014; Reaffirms Earnings Guidance for the First Half and Second Half of Fiscal 2015; Revises Earnings Guidance for the Fiscal 2015
January 28, 2015 at 04:19 am IST
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SomnoMed Limited reported sales results for the month, second quarter and six months ended December 2014. Sales in December 2014 were over 5,000 units.
The company reported second quarter of fiscal 2015 sales of 13,575 units. Strong growth was achieved in the US during the second quarter, which saw unit sales increase by over 30% compared to the same quarter in the previous year, and resulted in global volume growth for the second quarter of 21.8%. Total revenues generated in the first half of the financial year grew by 18% to $14.81 million.
For the first half, sales totaled 24,775 units. Total revenues generated in the first half of the financial year grew by 18% to $14.81 million.
As previously indicated, profit growth in the first half of fiscal 2015 will be lower than the growth in revenues, with start-up costs incurred in new markets in Europe and Asia, and expenditure relating to the global launch of new products.
Guidance for the second half was based on the expectation of a further acceleration of its growth rates in volumes and revenues, leading to total sales of 30,000 units and revenues in the order of $18 million during the January to June 2015 period. This would result in volume growth of 30% in the second half and 26% for the year being achieved. Profits in the second half are likely to be in line with its expectations and will give an indication of the future earnings capability of SomnoMed.
The company confirmed the forecast revenues of $32.5 million for the financial year of fiscal 2015. Given first half earnings, EBITDA for the year is expected to be consistent with its guidance but likely to come in towards the lower end of the range given.
SomnoMed Limited is an Australia-based company, which is engaged in producing and selling devices for the oral treatment of sleep-related disorders. The Company provides treatment solutions for sleep-related breathing disorders, including obstructive sleep apnea, snoring, and bruxism. It is focused on the commercialization of the SomnoDent and other oral devices for sleep-related disorders. The Companyâs segments include North America, Europe, Asia Pacific, CORE, and RSS. Its SomnoDent product line includes SomnoDent Avant, SomnoDent Classic, SomnoDent Flex, SomnoDent Fusion, Herbst Advance Elite and Herbst Advance. Its SomMorning Repositioner is designed to help return their mandible back to its pre-treatment centric position. Its SomnoBrux Michigan splint is a custom fit, acrylic splint (dental guard) for upper teeth designed to protect the teeth from grinding and scraping during Bruxism. It also offers SomTabs, which are cleaning tablets that are developed to clean oral appliances.
SomnoMed Limited Reports Sales Results for the Month, Second Quarter and Six Months Ended December 2014; Reaffirms Earnings Guidance for the First Half and Second Half of Fiscal 2015; Revises Earnings Guidance for the Fiscal 2015