Oslo, 3 November 2022 - Observe Medical ASA ("the Company" or "Observe Medical") today release its results for the third quarter of 2022.

"In October, we announced that Observe Medical had entered into an exclusive agreement with the intention to acquire Convatec's Unometer urine measurement portfolio, consisting of several market-leading brand names such as Unometer™ Safeti™ Plus, Unometer™ 500, and Unometer™ Abdo-Pressure™. This proposed agreement comes with significant revenue potential and positions Observe Medical as the leading urine measurement system provider in Europe. The agreement will provide direct access to hundreds of distributors across more than 50 countries worldwide and will bring with it several synergies and fast-track the go-to -market strategy for Sippi®," says Rune Nystad, CEO of Observe Medical, and added:

"In the period, we also strengthened the management team by bringing in Carsten Trygve Bøgh as CTO. Combined, these are events that will support our growth efforts in the immediate and long term."

Portfolio update

In the third quarter of 2022, Observe Medical has worked closely with its recently selected manufacturing partner for Sippi®. With preparations underway, the distribution network that follows the potential acquisition of the Unometer product portfolio will significantly strengthen the sales channels for Sippi®. The US roll-out of the Biim ultrasound system also continues across Fresenius clinics, and the Company continues to support Fresenius' multi-clinic training efforts.

The Company is proactive in pursuing new tenders and products complementing existing product lines as part of the Nordic sales and distribution platform. The platform is well-equipped to take on new products, such as the Unometer product portfolio.

Financial highlights

For the third quarter of 2022, Observe Medical reported NOK 3.4 million in total revenues, and the gross margin amounted to 41 per cent.  The EBITDA for the quarter amounted to negative NOK 10.7 million as the Group continues to invest in line with the growth strategy.

See the attached presentation material for more detailed information about the financial results for the third quarter of 2022.

Management will host a presentation and Q&A session at 08:30 CET today. The presentation will take place at Haakon VIIs gate 2 and will be available via webcast at the following link: https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20221103_4

The presentation and recording will be made available under the Investor Relations section on the Company's website, https://observemedical.com/investor-relations/.

For further information, please contact:
 

Rune Nystad, CEO of Observe Medical
Mobile: +47 916 24 683
E-mail: rune.nystad@observemedical.com

Per Arne Nygård, CFO of Observe Medical
Mobile: +47 411 04 345
E-mail: perarne.nygard@observemedical.com

About Observe Medical
Observe Medical is a Nordic medtech company that develops, markets and sells innovative medtech products for the global market. The Company is committed to improving patient welfare and patient outcomes, improving clinical data accuracy and promoting positive health economics.

The Company seeks to drive growth by leveraging its expertise in sales and commercialisation of its broad portfolio of medical technology products, mainly in urine measurement, ultrasound, anesthesiology/ICUs, surgery and wound care, in combination with targeted M&A.

The Company is headquartered in Oslo, Norway, with additional offices in Narvik (Norway), Gothenburg (Sweden), Oulu (Finland), and Seattle (the US). In addition, Observe Medical has a direct sale organisation in the Nordics and a distributor network internationally.

Further information is available at www.observemedical.com.