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Bioretec Ltd Unveils Annual Business Review with Strategic Insight and Financial Outlook

TAMPERE, Finland, May 16, 2024 /PRNewswire/ -- Bioretec Ltd, a premier biodegradable orthopedic implant manufacturer, released an insightful business review for the first quarter of 2024. The comprehensive analysis, which is available as a PDF file on the company's website, gives stakeholders a glance into the company's financial journey from January through March 2024. The report can be accessed at Bioretec's Investor Releases.

A Precise Overview of Bioretec's First Quarter Performance

Key Performance Indicators

The key financial figures for January through March 2024 reveal that net sales saw a downturn when compared to the same period in the previous year, recording a total of EUR 682 thousand - a significant drop from the EUR 1,071 thousand reported in 1-3/2023. Despite the dip in sales, the sales margin remained robust at 70.1% of net sales, including the positive effect of a EUR 60 thousand Business Finland grant. However, when the grant effect is taken out, the resulting sales margin stands at a lesser 61.3%.

The review also highlighted the setbacks in EBITDA, which dropped to EUR -1,112 thousand, significantly lower than the EUR -491 thousand seen in the comparison period the year prior. The decline was primarily attributed to a surge in personnel costs owing to increased headcount and additional fixed expenses related to the company's endeavors in U.S. commercialization and R&D projects.

In total, the results for the period amounted to EUR -1,097 thousand, tumbling down from the previous year's EUR -557 thousand.

Investor Communication and Tables of Key Figures

In line with transparent communication with investors, Bioretec has provided detailed key figures and financial tables in its business review. To facilitate comprehensive analysis, the tables portray changes in figures such as net sales, sales margin, and profitability ratios. A notable detail in these tables is the 919.3% increase in cash and cash equivalents at the end of the period, a positive sign for the company's liquidity.

First Quarter Headlines and Strategic Movements

The report also underscored several strategic initiatives during the reporting period. Crucial among them was the progress of the European market authorization application for the RemeOs™ trauma screw, expected to garner approval during the second quarter of 2024. Furthermore, marking a milestone, the FDA granted Bioretec a coveted Breakthrough Device Designation status for its RemeOs™ Spinal Interbody Cage. This development underscores the innovative nature of Bioretec's products, potentially expediting the product's assessment process.

Another significant triumph was the procurement of a U.S. patent for Bioretec's RemeOs™ magnesium alloy composition, fortifying the company’s intellectual property portfolio and offering a competitive edge in the global market.

Commentary from CEO Timo Lehtonen

Timo Lehtonen, the CEO of Bioretec Ltd, provided a comprehensive statement underscoring the company's strategic priorities and developments for the first quarter of 2024. "Our focus was predominantly on producing and distributing our Activa product line to satisfy the continued need in the U.S. market," Lehtonen stated. Net sales in this quarter saw diverse geographical contributions, with a significant 27% emanating from Europe, a marked increase from 19% in the corresponding period. Sales in the U.S. also saw an upward trend, growing to comprise 24% of the total, whereas other global sectors retreated from 65% to 49%.

Lehtonen expressed positive sentiments regarding the controlled launch of the RemeOs™ trauma screw, which saw an increasing number of surgeries employing the product. "We are actively gathering and meticulously analyzing post-operative data to assess the healing process and efficacy of the fractures treated with our screws," he added.

With an eye on the future, the CEO unveiled that the company was preparing for a significant swell in U.S. sales. This anticipation catalyzed a halt in production in January—a strategic move to enhance manufacturing capabilities, evident in the company's current numbers. Bioretec's tangible enhancements include the introduction of a new CNC machine especially for the trauma screw line and augmenting personnel and resources for key operational projects.

Lehtonen accentuated the pivotal developments, such as the company's patent for the new RemeOs™ magnesium alloy and FDA designation both instrumental for upcoming product lines and market penetration strategies, especially in the U.S. The CEO revealed plans to initiate the first-in-human study of the RemeOs™ DrillPin in Austria pending regulatory approvals.

Bioretec's aimed production boon, says Lehtonen, would likely shift net sales concentration towards the latter half of the year. This tactical groundwork is foundational in meeting the future market's demands and launching an expanded product portfolio.

Bioretec's 2024 Financial Report Schedule

Bioretec Ltd made public their schedule for releasing subsequent financial reports. The company will issue the half-year report for January through June 2024 on Thursday, 15 August 2024, followed by a business review covering January to September 2024 slated for release on Thursday, 14 November 2024. All publications will be readily accessible on the official Bioretec website under the Investors Reports and Presentations section.

Contact for Further Inquiries

For more information, stakeholders and interested parties may directly reach out to CEO Timo Lehtonen or CFO Johanna Salko, who are available for inquiries relating to the company and the latest business review.

Timo Lehtonen's contact: +358 50 433 8493 or via email. Johanna Salko's contact: +358 40 754 8172 or via email.

A Closer Look at Bioretec's Innovations and Market Impact

Bioretec continues to lead in the medical device sector, carving a niche with its innovative biodegradable orthopedic implants. The pioneering company, with global operations, expertly maneuvers at the biological interface of active implants to bolster bone growth and hasten healing after surgeries. Their products are commendably utilized across 40 countries worldwide.

The Finns' R&D endeavors have yielded the novel RemeOs™ product series, anchored in robust materials like magnesium alloys and hybrid composites. These new-generation resorbable materials are poised to potentially outpace titanium implants, allowing health facilities to achieve Value-Based Healthcare targets by furnishing patient-centric and efficient care.

Furthermore, the innovation spotlight shines on the RemeOs™ implants for their unique ability to be absorbed and replaced by natural bone, averting the necessity for secondary surgery while supporting fracture healing.

Global Market Aspirations and Vision for Bone Fracture Treatment

With the first market authorization for RemeOs™ secured in the U.S. as of March 2023, and the anticipated CE mark in Europe expected in the second quarter of 2024, Bioretec is strategizing to capture significant market share in the global orthopedic trauma sector—amounting to over USD 7 billion. As Bioretec positions itself in the evolving surgical bone fracture treatment landscape, the RemeOs™ line stands as a potential game-changer.

Summary of Bioretec Ltd’s First Quarterly Review 2024 and Future Outlook

Concluding the review, Bioretec Ltd expresses gratitude to investors, customers, and staff for their unwavering support and confidence in the company. This steadfast backing fuels Bioretec’s commitment to leading-edge innovation and maintaining the highest standards of excellence. As the company surges forward, it embraces the exciting opportunities and challenges ahead, staying true to its mission of enhancing healing experiences for better lives.

Appendix and Additional Resources

As an appendix to the news article, Bioretec Ltd’s business review for January-March 2024 is available for download in PDF format. Interested readers can access the report at Bioretec Business Review January-March 2024.

For further details on the company's news and press releases, Cision News at http://news.cision.com is a valuable source of information.

Certified Advisor

Bioretec Ltd acknowledges Nordic Certified Adviser AB, with contact line p. +46 70 551 67 29, as their certified advisor.