Summary of Interim Report January – June, 2016
“We’re building a new global leader in the field of patient monitoring”
Financial information second quarter 2016.
- Net sales amounts to KSEK 521 (30)
- Income after financial items amounts to KSEK -2,024 (-2,167).
- Earnings per share before dilution amounts to SEK -0.09 kr (-0.15).
- Cash and cash equivalents per June 30, 2016 equal SEK 8.0 million (19.5).
- Number of shares per June 30, 2016 amounts to 32,153,460 (16,076,730).
Financial information January – June, 2016
- Net sales amounts to KSEK 543 (77).
- Income after financial items amounts to KSEK -3,876 (-3,801).
- Earnings per share before dilution amounts to SEK -0.20 (-0.28).
Definitions. Earnings per share: Net income for the period divided by the average numbers of shares during the period. In parentheses is describes comparative period last year. Unless otherwise stated, all information refer to the Group.
Significant events during the second quarter
- April 2016. Senzime receives research grant from Vinnova through BIO-X to conduct a study designed for clinical evaluation of OnZurf Probe and CliniSenz Analyzer for postoperative monitoring of patients with esophageal cancer. The grant also provides the ability to carry out activities prior to commercialization and CE marking of the products. The grant amounts to SEK 2 million, and the study will be conducted in Lund.
- May 2016. Senzime acquired Acacia Designs BV (”Acacia”), an international development company within anesthesia monitoring. The acquisition was financed by 16,076,730 newly issued shares in Senzime through a non-cash issue. After the acquisition, Acacia’s shareholders owned 50 percent of the shares in Senzime. In connection with the acquisition, a rights offering to existing shareholders was made, amounting to 15.2 million SEK before transaction expenses. The rights offering is fully guaranteed through subscription commitments and guarantees.
- June 2016. New shares issue with preferential rights for existing shareholders was performed and was subscribed to 92.6 percent of the original offer. The remaining 7.5 percent of the shares is allocated to the underwriters. The proceeds in the issue totals SEK 15.3 million before transaction-related costs.
- June 2016. Senzime has hired Jessica Roxhed as new CFO and Catrin Molund as new Director of Business development. Jessica joins with experience from various financial positions within Life Sciences and most recently the Church of Sweden, where she was controller. Catrin joins with a long-term career in various management positions at Orexo AB, a publically traded specialty pharmaceutical company. Both will join Senzime starting on September 1.
Significant events after the period end
- July 2016. New share issue with preferential rights for existing shareholders that was performed during May – June is now registered with the Company´s Registration Office. The proceeds in the issue totals SEK 15.3 million before transaction costs.
- August 2016. Örebro University has been awarded SEK 11 million and will together with Senzime, Sandvik, Techtum and Nanoxis explore why the immune system reacts differently in different people after an operation, during an infection or because of polluted air.
Statement of the CEO
“We are building a new global leader in the field of patient monitoring”
Senzime develops unique medical devices that make it possible to monitor patients' biochemical and physiological processes before, during and after an operation. The solutions are designed to ensure maximum patient benefit, reduce complications associated with surgery and reduce health care costs.
During the second quarter of 2016, Senzime AB acquired Acacia BV, a medical device company that has developed a novel and reliable method of monitoring the depth of neuromuscular block and determine the adequacy of neuromuscular recovery during general anesthesia. The method of monitoring is designed to reduce perioperative complications in surgical patients. The merger between Senzime and Acacia creates a company with a broader market offering of patient monitoring systems of biological and physiological processes in perioperative surgical patients. The new company significantly increases Senzime’s market potential and opportunities, and benefits from Acacia’s existing international clinical network.
Senzime AB shall deliver products to the healthcare market that contribute to improved patient safety and reduce health care costs. This is Senzime’s vision, and in 2015 and 2016, we have taken major steps forward, including the strategic acquisition of the company that developed OnZurf Probe, and most recently, Acacia monitoring company. The acquisitions are fully aligned with our strategy to build a global leader in patient monitoring. Through the merger, Senzime has expanded its international reach, as well as its range of medical devices designed to improve perioperative patient monitoring.
As previously announced, Acacia signed a letter of intent with one of the world's premiere developers of anesthesia monitoring devices during spring 2016. Acacia received an initial smaller down payment under this agreement, in which the rest of the amounts are reported in Senzime’s results during the second quarter. The goal is to finalize a more comprehensive license during the latter part of 2016.
During the second quarter or 2016, and as previously reported, we received a competitive research grant from Uppsala Bio, BIO-X, to conduct a clinical study designed to clinically evaluate OnZurf Probe and CliniSenz Analyzer. We have already conducted a clinical study that monitored the blood glucose levels in patients at risk for diabetes. The next steps will be to document the benefits of OnZurf Probe and CliniSenz Analyzer in patients with esophageal cancer, which is a large and growing patient population, and we will continue to seek partnerships to help us document the clinical benefits of our products.
We remain confident that we have highly attractive monitoring products and that we are capturing the perioperative market at the appropriate time. We have competitive solutions in a large and growing medical market; we will shortly introduce our products to the market, which of course is very exciting after all the years of development. As I wrote in the Q1 report, we look forward to a continually eventful 2016 and beyond.
Uppsala in August 2016