Trinity Biotech Announces Results for Q2 2018

Trinity Biotech (NASDAQ:TRIB) has announced its second quarter results for the quarter ended June 30, 2018.

As quoted in the press release:

Quarter 2 Results

Total revenues for Q2, 2018 were $25.0m compared to $25.4m in Q2, 2017.

2017 Quarter 2	2018 Quarter 2	Increase/ (decrease)
US$’000	US$’000	%
Point-of-Care	4,350	4,019	(7.6%)
Clinical Laboratory	21,098	20,983	(0.6%)
Total	25,448	25,002	(1.8%)

Point-of-Care revenues for Q2, 2018 decreased by $0.3m. This was attributable to lower sales of HIV products in Africa due to the normal fluctuations which characterise that market, in addition to reduced HIV sales in the USA due to continued lower federal government spending in this area.

Meanwhile, Clinical Laboratory sales for the quarter were $21.0m versus $21.1m for the corresponding period last year, thus representing a decrease of 0.6%.  This was due to higher diabetes and autoimmunity revenues being offset by lower Lyme revenues as a result of severe winter weather conditions in the north-eastern USA which extended into Spring thus delaying the start of the Lyme season.

The gross margin for the quarter was 43.2%, which compares favourably to 42.5% achieved in Q2, 2017 This improvement was partly attributable to cost savings implemented during the quarter.

Research and Development expenses increased marginally from $1.3m in Q2, 2017 to $1.4m for the current quarter, whilst Selling, General and Administrative (SG&A) expenses decreased from $7.6m to $7.4m in the same period. Share option expense for the quarter increased from $0.1m to $0.3m due to an unusually low charge in Q2 of last year and caused total indirect costs to increase from $9.0m to $9.1m.

Operating profit fell slightly from $1.8m to $1.7m due to the increase in indirect costs, which was driven entirely by a higher share option charge this quarter.

Click here to read the full press release.