Amplitude Surgical – 2017-18 Annual Results

Sales of over €100 Million, up +8% Like-for-Like, and Solid EBITDA Growth of +17%

Regulatory News:

Amplitude Surgical (Paris:AMPLI) (ISIN: FR0012789667, Ticker: AMPLI, PEA-PME eligible), a leading French player on the global surgical technology market for lower-limb orthopedics, announces its 2017-18 annual results.

Olivier Jallabert, Chairman and CEO of Amplitude Surgical, says: “Our strong growth, with annual sales exceeding €100 million, and the improvement in our profitability demonstrate the relevance and quality of execution of Amplitude Surgical’s strategy. The strengthening of our structures, following substantial industrial and commercial investments, supports our ambition of doubling our sales in 5 years thanks to, in particular, our ongoing development on the American market and the enrichment of our portfolio of innovative products”.

Over the 2017-18 financial year to June 30, 2018, Amplitude Surgical continued to implement its strategy targeting high-potential countries, particularly the United States, and recorded further significant growth in activity. Sales exceeded €100 million, up +7.5% in actual terms and +8.2% like-for-like (constant currency and scope). Despite the negative currency effect and the increase in the workforce, the Group’s EBITDA grew by +17% to €18.1 million, giving a +140 bp improvement in the margin to 18%.

Key events:

• During the past year, Amplitude Surgical:
  • in France, continued the strengthening of its sales force and intensified its market coverage with the integration of several independent sales agents, in eastern France and the Paris area;
  • strengthened its industrial integration with the acquisition of the remaining 50% stake in the Sofab Orthopédie group, which specializes in high-precision manufacturing for implants;
  • completed work on a state-of-the-art ISO 5 clean room, on its Valence site, that has been operational since June 2018.
• Since the end of the financial year, the Group:
  • in early September, recorded the first arthroplasty performed with an ANATOMIC knee prosthesis in the United States, the world’s largest market, at a hospital in Champaign, Illinois. Since then, the growth of the US market has started with new client surgeons and new distributors choosing Amplitude Surgical;
  • further strengthened its presence on the French market with the creation of its Amplitude Sud subsidiary;
  • and strengthened its organization with the appointment of Mrs. Muriel Benedetto Marmilloud to the newly-created position of Chief Operations Officer (COO). Reporting directly to the Chairman and CEO, she will be responsible for steering the R&D, Supply chain and Quality assurance & Regulatory affairs departments, in order to ensure total control over the entire logistics value chain and to continue the structuring of operations in order to accompany Amplitude Surgical international development while complying with future regulatory changes.

Financial summary (actual currency):