SISRAM MED Reports Strong H1 2018 Growth: Reinforcing Asia-Pacific Leadership and Expanding Global 'Medical + Aesthetic' Footprint

VCBeat (WeChat: vcbeat) has learned that on the 20th, Sisram Medical Ltd (“SISRAM MED”, stock code: 1696.HK), a globally leading research, development, and manufacturing enterprise for medical aesthetic devices, announced its interim results for the six months ended June 30, 2018.

According to available information, SISRAM MED is the first Israeli company listed on the Main Board of The Stock Exchange of Hong Kong. Established in 2013, it acquired Alma Lasers Ltd., a global leading provider of energy-based aesthetic medical devices. Currently, it ranks first in the Chinese market and is one of the top five companies globally in this industry. Sisram Medical Ltd. is a controlling subsidiary of Fosun Pharma, a leading healthcare industrial group in China.

1. Revenue increased to $78.2 million, a year-over-year growth of 17.9%;

2. Gross profit increased to $41.9 million, a year-on-year increase of 16.0%;

3. Pre-tax profit increased to US$13.6 million, a year-on-year increase of 28.0%;

4. Profit attributable to owners of the parent company increased to US$11.3 million, a year-on-year increase of 43.9%;

5. Adjusted net profit reached $15.3 million, a year-on-year increase of 15.2%;

6. The net profit margin reached 14.4%, compared to 11.8% in the first half of 2017.

In the first half of 2018, SISRAM MED delivered another productive reporting period. The company optimized its growth strategy by expanding synergistically in the fields of medical surgical and aesthetic devices, thereby driving performance improvement.

SISRAM MED, in the first half of 2018, while advancing its global business,Further Strengthening Expansion in the Asia-Pacific Market, including the establishment of Alma Medical HK by its subsidiaries in Hong Kong as a hub for future expansion into Southeast Asia.

The company’s recent initiatives in the Asia-Pacific region have yielded results, with revenue from the Asia-Pacific region excluding mainland China increasing by 40.3% in the first half of 2018 compared to the same period in 2017. By entering into a strategic partnership with IBSA, a leading Swiss-headquartered pharmaceutical company, the company has deployed its portfolio of medical aesthetic dermal filler products in Hong Kong (China), mainland China, and India. This is expected to further strengthen the company’s position as a leading provider of medical aesthetic technologies in the Asia-Pacific region.

In the first half of this year, SISRAM MED’s product sales revenue reached $72 million, representing a 16.6% increase compared to the same period in 2017. Among these, the minimally invasive medical surgical product line saw a 28.3% year-on-year revenue growth, marking the fastest growth among major product lines. Driven by strong demand for recurring business, revenue from services and other operations rose by 35.3% to $6.2 million. The company’s total revenue increased by 17.9% to $78.2 million. Adjusted net profit amounted to $15.3 million, a 15.2% year-on-year increase.

During this period, the company continued to focus on research and development, adopting a systematic and user-centric approach to meet the specific needs of healthcare institutions and users. R&D investment in the first half of the year amounted to $4.9 million, remaining flat compared to the same period in 2017.

Looking ahead to the second half of 2018, SISRAM MED will continue to provide modular, high-performance, and cost-effective device systems based on the latest clinical research and cutting-edge technology. Through analysis of global trends and market opportunities, the Company has identifiedThree Major “Hotspots”: Body Contouring, Skin Treatments (Especially Skin Repair), and Women’s Health。

SISRAM MED will fully leverage the growing global demand in these sectors to further expand its market share and solidify its leading position. Key regional initiatives include expanding sales channels in the United States, strengthening the sales team for body contouring products in India, and upgrading existing service centers in regions such as Germany in Europe.

Meanwhile, guided by its “Medical + Aesthetic” product strategy, SISRAM MED will further expand its portfolio of minimally invasive surgical products and broaden their indications. Coupled with the ongoing launch of new products in its fat grafting line, SISRAM MED will accelerate its progress toward fulfilling its mission of “Making Life Better.”

Mr. Liu Yi, Chairman and Executive Director of SISRAM MED, stated: “In the first half of 2018, we continued to deliver a productive reporting period, with steady growth in both sales revenue and profitability. Fosun Pharma regards the medical technology industry as a key growth engine and one of its important business pillars, with SISRAM MED serving as the vanguard. We anticipate that the powerful synergies derived from Fosun Pharma’s global footprint and resource advantages in the broader healthcare industry, combined with SISRAM MED’s leading market position and enhanced capabilities in advanced technology development and operational management, will be more comprehensively reflected in our future performance.”