Hamilton Thorne Reports Revenue for the Quarter and Six Months Ended June 30, 2024, and Confirms Annual Guidance

BEVERLY, Mass. and TORONTO, Aug. 14, 2024 (GLOBE NEWSWIRE) -- Hamilton Thorne Ltd. (TSX: HTL), a leading provider of precision instruments, laboratory equipment, consumables, software, and services to the Assisted Reproductive Technologies (ART), research, and cell biology markets, today reported audited financial results for the quarter and six months ended June 30, 2024.

Financial Highlights

• Sales increased 16% year over year to $19.1 million for the quarter; sales for the six-month period increased 16% to $38.5 million; sales increased 17% for the quarter and 16% for the six-month period on a constant currency basis
• Gross profit increased 14% to $9.7 million for the quarter; and increased of 17% to $19.9 million for the six-month period
• Net loss was $679 thousand for the quarter and $1,615 thousand for the six-month period, versus net loss of $439 thousand and $362 thousand in the prior year periods
• Adjusted EBITDA increased 13% to $3.2 million for the quarter and increased 19% to $6.7 million for the six-month period
• Organic sales growth was 10% for the quarter and 9% for the six-month period
• Cash generated from operations was $4.3 million in the quarter; total cash on hand at June 30, 2024 was $8.9 million
• Confirming guidance for the full 2024 with sales range between $78 and $82 million, representing 10-15% organic growth.
  

Dr. Kate Torchilin, Chief Executive Officer of Hamilton Thorne Ltd. commented, “Our strong start to 2024 continued in the second quarter with revenue growth of 16% for the quarter. Equipment sales growth was 10% for the quarter, while consumables, software, and services grew over 20%. Our organic growth, which eliminates the effects of both the acquisitions and exchange rates, was up 10% for the quarter.”

Adjusted EBITDA increased 13% to $3.2 million and increased 19% to $6.7 million for the six-month period. These changes were due primarily to increased sales and gross profits offset by increased operating expenses.

Cash generated by operations was $4.3 million for the six months ended June 30, 2024, compared to $1.7 million of cash generated by operations in the same period of the prior year. The increase is primarily due to improvement in working capital management partially offset by the net loss for the first six months of 2024.

Key Financial Data and Comparative Results

All amounts are in US dollars, unless specified otherwise, and results, with the exception of Adjusted EBITDA, are expressed in accordance with the International Financial Reporting Standards ("IFRS").

See the Company’s Management Discussion and Analysis for the periods covered for further information and a reconciliation of Adjusted EBITDA to Net Income.

Outlook

Dr. Torchilin stated, “We continue to focus serving our customers with our broad product portfolio and strong technical support. We will continue to leverage our strengths as a premier innovator, manufacturer, and marketer of important products for our core markets, while accelerating operational efficiency to drive profitable growth and enhance shareholder value. We are on track to achieve double digit organic growth in 2024, continuing through the longer term. We are confirming our guidance for the full twelve months of 2024, and we anticipate delivering between $78 and $82M revenue, equivalent to 10-15% organic growth for the full year.”

Francesco Fragasso, the Company’s Chief Financial Officer, added, “Management is committed to delivering continued EBITDA margin expansion through growing revenues and margins while controlling recurring operating expenses. We anticipate Q3 of 2024 to be in line with the plan to achieve our full year guidance. Cash flow is expected to improve through 2024 as the investment in expanding capacity has been completed and working capital is improving.”

Commenting on the Company’s M&A activities, Dr. Torchilin stated, “We continue to focus on building Hamilton Thorne Ltd. into the premier company serving IVF/ART laboratories and adjacent markets globally. We continue to actively pursue multiple acquisition opportunities.”

See the Company’s Management Discussion and Analysis for the periods covered for further information and a reconciliation of Adjusted EBITDA to Net Income.

An updated investor presentation will be posted to the Company’s web site. The Company will not be hosting a conference call.

Neither the TSX Exchange, nor its regulation services provider (as that term is defined in the policies of the exchange), accepts responsibility for the adequacy or accuracy of this release.

The press release, with accompanying financial information, will be posted on the Company’s website at www.hamiltonthorne.ltd and on www.sedarplus.ca.

About Hamilton Thorne Ltd. (www.hamiltonthorne.ltd)

Hamilton Thorne is a leading global provider of precision instruments, laboratory equipment, consumables, software, and services that reduce cost, increase productivity, improve results, and enable breakthroughs in Assisted Reproductive Technologies (ART), research, and cell biology markets. Hamilton Thorne markets its products and services under the Hamilton Thorne, Gynemed, Planer, Tek-Event, IVFtech, Microptic, Gynetics, and Embryotech Laboratories brands, through its growing sales force and distributors worldwide. Hamilton Thorne Ltd.’s customer base consists of fertility clinics, university research centers, animal breeding facilities, pharmaceutical companies, biotechnology companies, and other commercial and academic research establishments.

Neither the TSX Exchange, nor its regulation services provider (as that term is defined in the policies of the exchange), accepts responsibility for the adequacy or accuracy of this release.

The Company has included Adjusted EBITDA, Organic Growth, and Constant Currency as non-IFRS measures, which are used by management as measures of financial performance. See section entitled “Use of Non-IFRS Measures” and “Results of Operations” in the Company’s Management Discussion and Analysis for the periods covered for further information and a reconciliation of Adjusted EBITDA to Net Income.

Certain information in this press release may contain forward-looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements unless and until required by securities laws applicable to the Company. Additional information identifying risks and uncertainties is contained in filings by the Company with the Canadian securities regulators, which filings are available at www.sedar.com.

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