SomnoMed Limited reported unaudited earnings results for the second quarter and first half ended December 31, 2017. For the quarter, the group's revenues grew by 45% compared to the prior year reaching $18.5 million for the three months period. Growth was driven by SomnoMed's "Direct to Patient" Renew Sleep Solutions Inc., allowing North American revenues to grow by over 75% in the second quarter year on year. The company generated $2 million in operating cash from the core business.

For the half year, the company's core business generated an unaudited EBITDA of $1 million, after absorbing group corporate overheads. For the same period RSS generated start up EBITDA losses of $4.4 million (unaudited) resulting in SomnoMed Group's net EBITDA loss being $3.4 million (unaudited). Revenue from sale of goods and services, net of discounts was $31,573,940 as compared to $23,786,511 a year ago. Operating loss before corporate, research and business development expenses, non-cash items and income tax was $976,177 as compared to operating profit before corporate, research and business development expenses, non-cash items and income tax was $2,428,148 a year ago. Loss before income tax expense was $4,615,543 as compared to $372,048 a year ago. Loss after income tax expense was $6,529,916 as compared to $802,324 a year ago. Loss attributable to owners of company was $5,620,376 as compared to $600,587 a year ago. Basic and diluted loss per share was 10.33 cents as compared to 1.13 cents a year ago. Net cash outflow from operating activities was $6,418,731 as compared to $943,176 a year ago. Payments for intangible assets was $100,883 as compared to $209,779 a year ago. Payments for property, plant and equipment was $871,957 as compared to $922,363 a year ago.

For the year 2018, the company expects group revenues to grow between 35% and 40%, close to $70 million for the year. Rising profits in core business, combined with reduced losses in Renew Sleep Solutions Inc. are expected to achieve a break even position for the second half year, leaving the result for the financial year 2017-2018 at a negative group EBITDA of $3.5 to $4 million.