Theraclion

Strong Commercial Progress in the First Half of 2018

Regulatory News:

THERACLION (Paris:ALTHE) (Euronext Growth, FR0010120402 – ALTHE), a company specialized in leading-edge medical equipment for echotherapy, announces today its sales for the first semester of 2018, closing on June 30th.

David Caumartin, Managing Director of Theraclion, says: "Theraclion continues to expand its installed base of Echopulse equipment and recorded sales to non-Group customers of 3 systems in the first half of 2018. The development of the installed base explains the growth in recurring revenue from the sale of consumables and services that doubled over the period. Nearly 500 treatments were performed in the first half of 2018, almost doubling compared to the first half of last year, reflecting the growing adoption of our echotherapy solution and opening up very promising development prospects in new indications such as venous pathologies.”

Growth in sales to non-Group customers: + 61%

In accordance with the changes in the reporting entity for the Theraclion financial statements decided in 2017, the figures published today are those of the legal entity Theraclion SA. They do not consolidate the contributions of Theraclion APAC Ltd (Hong Kong) and Theraclion China Co., Ltd. (Shenzhen). Sales to these subsidiaries are accounted for as sales to third parties. Total sales third parties from Theraclion SA, Theraclion Hong Kong and the joint venture in China would have amounted to € 899,000² up 61% from € 559,000 in 2017.

Sales of Theraclion SA alone were of € 862,000, up 15% year-on-year.

The € 653k in equipment revenue for the first half of 2018 corresponds to the sales of three Echopulse machines: one in Spain, one in France and one in South Korea via the unconsolidated Hong Kong Theraclion subsidiary. In the first half of 2017, Theraclion had sold three systems, including one to its Hong Kong subsidiary which uses this system for pay per use clients.

The equipment rentals are progressing compared to the first half of 2017 due to a lease of a veterinary research system in the United States.

The sale of consumables is up 54% in line with the increase in the number of treatments in clinical routine of 68%, which illustrates the growing adoption of echotherapy.

Finally, the 142% increase in service sales reflects the signing of system maintenance contracts that come out of the warranty period. In total, recurring revenues - consumables and maintenance services - doubled compared to the first half of 2017.