Full Year FY24 Results

Aroa Biosurgery is pleased to provide audited full year financial results for FY24. 

Highlights are listed below. To read the full announcement, click here

HIGHLIGHTS

FY24 Results

    • Delivered on guidance.[1]
    • Total revenue was NZ$69.1 million, representing 12% growth on FY23 (excludes one-off license fees).  Full-year product revenue of NZ$68.0 million, reflecting a 12% increase on FY23 (10% on a constant currency[2] basis) and an 18% increase from H1 FY24 to H2 FY24. 
    • 73% increase in full-year Myriad™ product revenue to NZ$23.3 million, reflecting a 70% increase on a constant currency basis.
    • Full-year OviTex™[3]/OviTex PRS product revenue of NZ$32.6 million, reflecting a transitional reduction of 7% compared to FY23 due to inventory management measures implemented by TELA Bio, Inc. (TELA Bio) in CY23.  The impact of these measures was confined to H1 FY24, as TELA Bio’s demand for the products re-aligned with their sales in H2 FY24, to deliver a 19% increase in the Company’s OviTex/OviTex PRS revenue compared to H1 FY24.
    • Product gross margin of 85%, representing a 1% increase on FY23 (both on a reported and constant currency basis).
    • Normalised EBITDA[4] loss of NZ$3.1 million, compared to a NZ$1.5 million normalised EBITDA profit in FY23.  In addition to the impact from revenue, this primarily reflects continued investment into AROA’s US sales operation and increased investment into clinical activities, including the Symphony™ randomised control trial (Symphony RCT).
    • Strong cash balance of NZ$29.5 million with no debt.

    FY25 Outlook

    • Total revenue guidance of NZ$80-87 million, reflecting 21-32% constant currency growth on FY24.  This will be driven by continuing Myriad sales momentum and TELA Bio’s sales re-aligning with their revenue forecasts.
    • Expected normalised EBITDA profit of NZ$2-6 million, achieved through investment in growth and increased sales productivity to drive profitability and positive operating cashflows in FY25. 
    • Guidance assumes an average NZ$/US$ exchange rate of 0.64 (compared to the average rate of 0.61 in FY24) and is subject to TELA Bio delivering on its CY24 guidance of US$74.5-76.5 million (representing 27-31% growth on CY23). 

     

     

    [1] Results are presented on a reported basis. Guidance was provided on an average NZ$/US$ rate of 0.615 compared to an average NZ$/US$ rate of 0.61.
    [2] Constant currency removes the impact of exchange rate movements.  This approach is used to assess the AROA group’s (‘Group’) underlying comparative financial performance without any distortion from changes in foreign exchange rates, specifically the US$.  All references in this announcement to ‘constant currency’ or ‘CC’ are as set out in this footnote.
    [3] OviTex and TELA Bio are trademarks of TELA Bio, Inc.
    [4] Normalised revenue and EBITDA is non-conforming financial information, as defined by the NZ Financial Markets Authority, and has been provided to assist users of financial information to better understand and assess the Group’s comparative financial performance without any distortion from the one-off transactions. The impact of non-cash share-based payment expenses and unrealised foreign currency gains or losses has also been removed from the Profit or Loss. This approach is used by Management and the board to assess the Group’s comparative financial performance.  All references to normalise EBITDA in this announcement are as set out in this footnote.