• Revenues increased 6% to £8.3 million (H1 2017: £7.8 million)
• EBITDA increased to £0.7 million (H1 2017: £0.5 million)
• Profit before tax, amortisation and exceptional items increased to £0.1 million (H1 2017: loss of £0.1 million)
• Adjusted loss per share* reduced to 0.4p (H1 2017: adjusted loss of 0.9p)
• Cash at period end of £1.5 million (31 December 2017: £1.4 million)
*Adjusted loss per share is calculated using loss after tax excluding amortisation and share-based payments
• Listings of UltraDEX in the UK increased by 37% from June 2017 to June 2018
• Launch of the new UltraDEX One GO single use sachet in Boots, Sainsbury's and Superdrug
• Launch of the new UltraDEX Fresh Breath Starter Kit in Boots
• Lloyds Pharmacy launch UltraDEX in the UK
• Extension of the partnership with Alliance Pharma, adding €1.6 million of annualised revenues and extending the agreement term to 2025
• Six new international partnering deals signed, on products including UltraDEX, Mycoclear and Procto-eze
Post-period end highlights:
• Acquisition of the Dentyl mouthwash brand for £4.2 million in cash
• Placing at 40p per share to raise gross proceeds of £18.75 million (£17.5 million net of expenses)
• Proceeds of the placing used to fund:
• the acquisition of the Dentyl brand;
• repayment of £3.7 million of debt; and
• strengthen balance sheet to support growth of business and strategic M&A
• Sainsbury's, Amazon and Ocado to launch the new UltraDEX One Go single use sachets
• Partner agreement with La Brosse et Dupont extended into Spain, Portugal and Belgium - UltraDEX now partnered in 15 countries
Commenting on the results, Jerry Randall, CEO of Venture Life, said:
"Whilst the first half of 2018 has been a period of continued organic growth for the business, the placing and acquisition which completed in August have been a transformational event for the Group. The acquisition of the well-known Dentyl brand is a perfect fit for our business, building on the strong oral care expertise that the Group has both in the UK and internationally, and using the significant operational leverage that we have. Our success with UltraDEX has enabled us to develop a strong internal team to exploit this area of the market, and the team is already hard at work on this new brand. The placing we undertook also enabled us to significantly de-gear and hence de-risk our balance sheet, and leaves us in a significant net cash position, with substantial funds at our disposal for both organic growth and further M&A. The profitable, cash generative nature of the Dentyl brand, coupled with the meaningful saving in interest costs from the loan repayments, will add significant profitability and positive cash flow to our already profitable business.
"I am delighted with the continued development of UltraDEX, with significant listings added in the UK, including the launch of the new UltraDEX One Go sachet. Internationally, we have already seen re-orders from the launches in H1 2018, as well as further international deals on some key brands within the business.
"We go into the second half of 2018 with a significantly stronger order book than the same time last year, aside from any contribution from Dentyl, a stronger balance sheet, and a solid share register courtesy of the many significant new, high quality, institutional investors who supported our Placing. I would like to take this opportunity to thank both our existing shareholders who participated in the Placing, and the new shareholders who joined our register through the Placing, for their support in this transformational transaction. I believe the second half of 2018 will evidence the continued development of the Group and the Board looks forward to the rest of 2018 and beyond with confidence."
For further information please contact:
Venture Life Group PLC
Jerry Randall, Chief Executive Officer
Adrian Crockett, Chief Financial Officer
+44 (0) 1344 742870
Northland Capital Partners Limited (Nominated Adviser and Joint Broker)
Matthew Johnson / Edward Hutton (Corporate Finance)
Vadim Alexandre (Corporate Broking)
+44 (0) 20 3861 6625
Cenkos Securities plc (Joint Broker)
Mark Connelly (Corporate Finance)
Russell Kerr / Michael Johnson (Sales)
+44 (0) 207 397 8900
Anna Dunphy / Paul McManus
+44 (0) 7876 741 001 / +44 (0) 7980 541 893
firstname.lastname@example.org or + 44 (0) 20 7933 8780
About Venture Life (www.venture-life.com)
Venture Life is an international consumer self-care company focused on developing, manufacturing and commercialising products for the global self-care market. With operations in both the UK and Italy, the Group's product portfolio includes some key products such as the UltraDEX and Dentyl oral care product ranges, food supplements for lowering cholesterol and maintaining brain function, medical devices for women's intimate healthcare and proctology and dermo-cosmetics for addressing the signs of ageing.
The products, which are typically recommended by pharmacists or healthcare practitioners, are available primarily through pharmacies and grocery multiples. In the UK these are supplied direct by the company, outside of the UK they are supplied by the Group's international distribution partners.
Through its Development & Manufacturing business in Italy, Biokosmes, the Group also provides development and manufacturing services to companies in the medical devices and cosmetic sectors.