5 February 2007
PuriCore plc
("PuriCore")
Pre-Close Trading Update
PuriCore (LSE: PURI), the life sciences company focused on the development and
commercialisation of its novel, safe antimicrobial technology, today provides a
pre-close trading update prior to publication on 16 April 2007 of its
preliminary results for the year ended 31 December 2006. PuriCore's platform
technology mimics the human body's production of its natural anti-microbial,
hypochlorous acid, an entirely safe and non-hazardous approach to disinfection
and sterilisation.
PuriCore expects to announce sales for 2006 of approximately $15.6 million, an
increase of 22% over the prior year. The US Food Safety business experienced
robust growth during 2006 and now has approximately 1,400 Systems installed in
supermarkets across the United States, in line with market expectations.
Several substantial new contracts were awarded in 2006, and discussions with
other major US grocery retailers continue.
The Endoscopy business, which supplies Sterilox Systems and services for the
sterilisation of reusable endoscopes to hospitals, encountered continued
challenging conditions as a result of cutbacks in healthcare expenditure in the
NHS. Despite these constraints, the installed base of global Endoscopy Systems
still grew by more than 20% and year-end customer demand points to a strong
start in 2007. Additionally, 100% of existing Endoscopy customers continue to
sign new contracts for extended periods, demonstrating a high degree of
satisfaction with the Sterilox System and validating PuriCore's strategy to grow
its portfolio of rented Systems.
The combined installed base of PuriCore's Sterilox Systems in Food Safety and
Endoscopy grew over 200% in 2006.
As a result of the NHS spending constraints, operating losses (EBITDA)
excluding the impact of non-cash compensation charges for the issuance of stock
options and warrants (approximately $2 million), are expected to be between $15
- $16 million for the year, slightly higher than currently forecasted. (Note:
Financial ranges provided as full impact of IFRS adjustments not yet finalized.)
PuriCore remains well financed, with cash and cash equivalents at 31 December
2006 of approximately $43 million.
Greg Bosch, Chief Executive of PuriCore, said:
"PuriCore experienced excellent growth in 2006, tripling the installed base of
Sterilox Systems. Importantly, 90% of the 2006 installations were Systems
placed under rental agreements, and 78% of our cumulative installed base are
under rental contracts at year end, representing $15 million in future revenue.
We continue to expand our rental business which adds to our base of recurring
revenue and allows us to plan targeted investments in the future.
"Despite a challenging environment for our UK Endoscopy business, we are
optimistic that our current backlog of customer demand, coupled with new
partnerships to expand our endoscopy portfolio such as the Minntech deal
announced today, will enable us to achieve our targets. Similarly, we expect
continued robust growth in 2007 in our US Food Safety business.
"As we continue to build PuriCore's global leadership in the field of infection
control, we remain focused on delivering strong growth and attractive investment
returns to our shareholders. We look forward to sharing more details in the
preliminary results on 16 April."
Contacts:
PuriCore plc +1 (484) 321-2700
Greg Bosch, Chief Executive Officer
Keith A. Goldan, Chief Financial Officer
Financial Dynamics Tel: +44 (0) 20 7831 3113
Ben Brewerton
John Gilbert
Notes to Editors:
All financials are unaudited.
PuriCore (LSE: PURI) is a life sciences company focused on the development and
commercialisation of its proprietary technology that mimics the production by
the human body of its natural anti-microbial, hypochlorous acid. Hypochlorous
acid is highly effective at killing pathogens such as bacteria, viruses and
fungi and yet is safe and environmentally friendly. PuriCore's solutions have
applications in a wide range of markets where it is important to control
microbial contamination. These markets include medical device disinfection,
food safety, dental equipment decontamination, environmental remediation,
hospitality, water safety, wound management and other applications intended to
limit the spread of infectious disease, including major global disease threats
such as Tuberculosis, MRSA, Influenza, E.coli, Norovirus, HIV, polio, Hepatitis
A, H.pylori and Legionella.
PuriCore markets a portfolio of branded systems which produce hypochlorous acid
solutions on-site at a customer's location from water, electricity and common
salt. These solutions are generated at a range of concentrations and at a
nearly neutral pH range similar to the human body. They are effective as soaks,
sprays, mists and in other forms.
PuriCore is headquartered in Malvern, Pennsylvania with offices in Stafford, UK.
To receive additional information on PuriCore, please visit our web site at
www.puricore.com, which does not form part of this press release.
This information is provided by RNS
The company news service from the London Stock Exchange
PuriCore Plc announces Trading Update
| Source: PuriCore Plc
Pennsylvania -- (MARKET WIRE) -- February 5, 2007 --