Sisram Medical Ltd Announces Its Interim Results for the First Half of 2019, Showcasing 9.3% Revenue Growth Driven by Consumer-Centric Approach
Hong Kong, August 20, 2019 -- Sisram Medical Ltd (“Sisram” or “the Company”; stock code: 1696.HK), a world-leading provider of medical aesthetics solution with solid track record in R&D and manufacturing, today announced its interim results for the six months ended June 30th, 2019 (the “Period”).
• Gross profit rose to US$49.0 million, an increase of 17.0% YOY while gross margin reached 57.3%
• Profit before tax amounted at US$15.6 million, an increase of 14.2% YOY
• Profit for the Period attributable to owners of the parent was US$13.2 million, an increase of 17.4% YOY
• Adjusted net profit reached US$16.4 million with adjusted net profit margin of 19.2%
• New direct sales offices opened in Israel, Australia and South Korea
• North America subsidiary revenues increased by 27% YOY
In the first half of 2019, Sisram adhered to its corporate vision – “enhancing quality of life”, and deepened its consumer focus, which helped to expand the Company’s direct sales and to drive overall revenue growth of 9.3% YOY for the Period. Gross profit for the Period rose 17.0% to US$49.0 million, as gross profit margin reached an all-time high of 57.3%.
With the establishment of new direct sales offices in Israel, Australia and South Korea, the direct sales revenue of Sisram grew to 52.5% of the total, surpassing revenue from distributors for the first time in the Company's history. These new direct sales offices represent our geographic focus on developing territories in general, and the Asia Pacific region in specific.
On the product front, Sisram has further established its minimally-invasive product line with the successful launch of BeautiFill by LipoFlow, the first and only energy-based device cleared by the FDA for autologous fat grafting, and the FemiLift platform offering, which was recently boosted by a patent granted for the bio-compatible disposable vaginal probe featuring a unique laser energy delivery shield that ensures the safety and efficacy of vaginal treatments.
Mr. Liu Yi, Chairman and Executive Director of Sisram, said: “During the first half of 2019, we keep focus on the demand from our end users and stick to the ‘medical + aesthetic’ strategy. With unremittingly efforts on research and development in fields of Medical Aesthetic and surgical, we continued to launch new products in the market. In addition, we are expanding our business in more direct sales channels in order to response to the end users’ market faster with better quality of service. Together with growing non-organic activities in medical technology field, we are looking forward to the bright future of Sisram. ”
Mr. Lior Dayan, CEO of Sisram Medical and Alma, said: “Our 20th anniversary is an opportunity to reflect, regroup, redefine and refine our mission, long term strategy and concrete work plan. I feel confident in our strategy rollout, and our near future plans for the second half of 2019. We identify further potential in increasing our direct operation volume, improving platform efficacy and leveraging proven technologies to further develop our markets.”
Sisram Medical – Enhancing Quality of Life.
http://www.sisram-medical.com
For media inquiries, please contact:
ICR Inc.
Edmond Lococo
Tel: +86 (10) 6583-7510
E-mail: Edmond.lococo@icrinc.com
This press release contains forward-looking statements. All statements other than statements of historical fact contained in this press release, including, without limitation, the discussions of the Company’s business strategies and expectations concerning future operations, margins, profitability, liquidity and capital resources, the future development of the Company’s industry and the future development of the general economy of the Company’s key markets and any statements preceded by, followed by or that include words and expressions such as “expect”, “seek”, “believe”, “plan”, “intend”, “estimate”, “project”, “anticipate”, “may”, “will”, “would” and “could” or similar words or statements, as they relate to the Company or its management, are intended to identify forward-looking statements. These statements are subject to certain known and unknown risks, uncertainties and assumptions, which may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Accordingly, you should not place undue reliance on any forward-looking information. Subject to the requirements of applicable laws, rules and regulations, the Company does not have any and undertakes no obligation to update or otherwise revise the forward-looking statements in this press release, whether as a result of new information, future events or developments or otherwise. In this press release, statements of or references to the Company’s intentions are made as of the date of this press release. Any such intentions may change in light of future developments. All forward-looking statements contained in this press release are qualified by reference to the cautionary statements set out above.
Results Highlights
• Revenue grew to US$85.4 million, an increase of 9.3% YOY• Gross profit rose to US$49.0 million, an increase of 17.0% YOY while gross margin reached 57.3%
• Profit before tax amounted at US$15.6 million, an increase of 14.2% YOY
• Profit for the Period attributable to owners of the parent was US$13.2 million, an increase of 17.4% YOY
• Adjusted net profit reached US$16.4 million with adjusted net profit margin of 19.2%
Operational Highlights
• Direct sales accounted for 52.5% of total revenue, surpassing distributors for the first time• New direct sales offices opened in Israel, Australia and South Korea
• North America subsidiary revenues increased by 27% YOY
In the first half of 2019, Sisram adhered to its corporate vision – “enhancing quality of life”, and deepened its consumer focus, which helped to expand the Company’s direct sales and to drive overall revenue growth of 9.3% YOY for the Period. Gross profit for the Period rose 17.0% to US$49.0 million, as gross profit margin reached an all-time high of 57.3%.
With the establishment of new direct sales offices in Israel, Australia and South Korea, the direct sales revenue of Sisram grew to 52.5% of the total, surpassing revenue from distributors for the first time in the Company's history. These new direct sales offices represent our geographic focus on developing territories in general, and the Asia Pacific region in specific.
On the product front, Sisram has further established its minimally-invasive product line with the successful launch of BeautiFill by LipoFlow, the first and only energy-based device cleared by the FDA for autologous fat grafting, and the FemiLift platform offering, which was recently boosted by a patent granted for the bio-compatible disposable vaginal probe featuring a unique laser energy delivery shield that ensures the safety and efficacy of vaginal treatments.
Mr. Liu Yi, Chairman and Executive Director of Sisram, said: “During the first half of 2019, we keep focus on the demand from our end users and stick to the ‘medical + aesthetic’ strategy. With unremittingly efforts on research and development in fields of Medical Aesthetic and surgical, we continued to launch new products in the market. In addition, we are expanding our business in more direct sales channels in order to response to the end users’ market faster with better quality of service. Together with growing non-organic activities in medical technology field, we are looking forward to the bright future of Sisram. ”
Mr. Lior Dayan, CEO of Sisram Medical and Alma, said: “Our 20th anniversary is an opportunity to reflect, regroup, redefine and refine our mission, long term strategy and concrete work plan. I feel confident in our strategy rollout, and our near future plans for the second half of 2019. We identify further potential in increasing our direct operation volume, improving platform efficacy and leveraging proven technologies to further develop our markets.”
About Sisram Medical Ltd
Sisram Medical Ltd (1696.HK), the first Israeli company listed on the Hong Kong Exchange Main Board, was established in 2013 for the acquisition of Alma, a leading provider of energy-based surgical and medical aesthetics solutions, ranked No. 1 in the People's Republic of China and one of the top 5 global leaders in its industry. Sisram Medical is majority held by Fosun Pharma, a leading health & medical industry group in China.Sisram Medical – Enhancing Quality of Life.
http://www.sisram-medical.com
For media inquiries, please contact:
ICR Inc.
Edmond Lococo
Tel: +86 (10) 6583-7510
E-mail: Edmond.lococo@icrinc.com
This press release contains forward-looking statements. All statements other than statements of historical fact contained in this press release, including, without limitation, the discussions of the Company’s business strategies and expectations concerning future operations, margins, profitability, liquidity and capital resources, the future development of the Company’s industry and the future development of the general economy of the Company’s key markets and any statements preceded by, followed by or that include words and expressions such as “expect”, “seek”, “believe”, “plan”, “intend”, “estimate”, “project”, “anticipate”, “may”, “will”, “would” and “could” or similar words or statements, as they relate to the Company or its management, are intended to identify forward-looking statements. These statements are subject to certain known and unknown risks, uncertainties and assumptions, which may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Accordingly, you should not place undue reliance on any forward-looking information. Subject to the requirements of applicable laws, rules and regulations, the Company does not have any and undertakes no obligation to update or otherwise revise the forward-looking statements in this press release, whether as a result of new information, future events or developments or otherwise. In this press release, statements of or references to the Company’s intentions are made as of the date of this press release. Any such intentions may change in light of future developments. All forward-looking statements contained in this press release are qualified by reference to the cautionary statements set out above.