By Anthony O. Goriainoff
Inspiration Healthcare Group has released its financial results for the first half of fiscal 2024, revealing a decrease in revenue due to a decline in infusion products. The London-listed medical-technology company reported a total revenue of £20.4 million ($26 million) for the six months ended July 31, compared to £20.5 million the previous year. Revenue from infusion products specifically dropped by 14% to £4.3 million. However, excluding the impact of destocking by a major customer in the infusion segment, the company experienced an 18% growth in revenue driven by robust underlying customer demand.
During this period, Inspiration Healthcare Group managed to improve its gross margin, which is projected to exceed 48%, surpassing the 44% achieved in fiscal 2023. The company attributed this improvement to its strategic focus on core growth neonatal products that yield higher profit margins.
Despite challenging market conditions, Inspiration Healthcare Group remains optimistic about achieving overall revenue growth for the year, with gross margins expected to maintain similar levels as the first half. This positive trend is anticipated to result in a significant year-on-year improvement in Ebitda margins. Furthermore, the company forecasts strong operating cash generation for the second half.
At 0720 GMT, shares of Inspiration Healthcare Group were down by 1.80 pence, or 3.7%, at 47.20 pence.
