Trinity Biotech PLC 6-K, filed Oct 2, 2024
Trinity Biotech PLC (TRIB)
6-K
2024-10-02
For: 2024-06-30
View Original
Added on
April 12, 2026
About this 6-K
Trinity Biotech PLC filed this 6-K on October 2, 2024.
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
F O R M 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE
SECURITIES EXCHANGE ACT OF 1934
For the month of October 2024
(Name of Registrant)
(Address of Principal Executive Office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ☐ No ☒
If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-
[This Form 6-K is being incorporated by reference into our Registration Statements on Form S-8 (File Nos. 333-182279,333-195232 and 333-253070) and Registration Statements on Form F-3 (File Nos. 333-280391, 333-279017 and 333-267160).]
Trinity Biotech plc
EXPLANATORY NOTE
Filed herewith as Exhibits 99.1 and 99.2 are Registrant’s Condensed Interim Unaudited Consolidated Financial Statements as of June 30, 2024 and for the Six Months Ended June 30, 2024 and June 30, 2023 and Management’s Discussion and Analysis of Results of Operations.
EXHIBIT INDEX
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Exhibit
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Description
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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TRINITY BIOTECH PLC
(Registrant)
By: /s/ Louise Tallon
Louise Tallon
Chief Financial Officer
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Date: October 2, 2024
Exhibit 99.1
TRINITY BIOTECH PLC
CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
AS OF JUNE 30, 2024
U.S. DOLLARS IN THOUSANDS
UNAUDITED
INDEX
Page | |
F-2 | |
F-3 | |
F-4 | |
F-5 | |
F-6 | |
F-7 to F-24 |
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT JUNE 30, 2024 AND DECEMBER 31, 2023
|
|
Notes
|
At June 30 2024
US$‘000
|
At December 31 2023
US$‘000
|
|||||||||
|
(Unaudited)
|
||||||||||||
|
ASSETS
|
||||||||||||
|
Non-current assets
|
||||||||||||
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Property, plant and equipment
|
|
|
||||||||||
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Goodwill and intangible assets
|
7
|
|
|
|||||||||
|
Deferred tax assets
|
|
|
||||||||||
|
Derivative financial asset
|
11
|
|
|
|||||||||
|
Other assets
|
|
|
||||||||||
|
|
||||||||||||
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Total non-current assets
|
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|
||||||||||
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|
||||||||||||
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Current assets
|
||||||||||||
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Inventories
|
9
|
|
|
|||||||||
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Trade and other receivables
|
|
|
||||||||||
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Income tax receivable
|
|
|
||||||||||
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Cash and cash equivalents
|
|
|
||||||||||
|
|
||||||||||||
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Total current assets
|
|
|
||||||||||
|
|
||||||||||||
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TOTAL ASSETS
|
3
|
|
|
|||||||||
|
|
||||||||||||
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EQUITY AND LIABILITIES
|
||||||||||||
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Equity attributable to the equity holders of the parent
|
||||||||||||
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Share capital
|
|
|
||||||||||
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Share premium
|
|
|
||||||||||
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Treasury shares
|
(
|
)
|
(
|
)
|
||||||||
|
Accumulated deficit
|
(
|
)
|
(
|
)
|
||||||||
|
Translation reserve
|
(
|
)
|
(
|
)
|
||||||||
|
Equity component of convertible note
|
|
|
||||||||||
|
Other reserves
|
|
|
||||||||||
|
|
||||||||||||
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Total deficit
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||
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Current liabilities
|
||||||||||||
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Income tax payable
|
|
|
||||||||||
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Trade and other payables
|
|
|
||||||||||
|
Exchangeable notes and other borrowings
|
11
|
|
|
|||||||||
|
Provisions
|
|
|
||||||||||
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Lease liabilities
|
|
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||||||||||
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|
||||||||||||
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Total current liabilities
|
|
|
||||||||||
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|
||||||||||||
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Non-current liabilities
|
||||||||||||
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Senior secured term loan
|
11
|
|
|
|||||||||
|
Convertible loan note
|
11
|
|
|
|||||||||
|
Derivative financial liabilities
|
11
|
|
|
|||||||||
|
Lease liabilities
|
|
|
||||||||||
|
Other payables
|
|
|
||||||||||
|
Deferred tax liabilities
|
|
|
||||||||||
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|
||||||||||||
|
Total non-current liabilities
|
|
|
||||||||||
|
|
||||||||||||
|
TOTAL LIABILITIES
|
3
|
|
|
|||||||||
|
|
||||||||||||
|
TOTAL EQUITY AND LIABILITIES
|
|
|
||||||||||
F - 2
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023
|
|
Notes
|
Six-month
period ended
June 30, 2024
Total
US$‘000
|
Six-month
period ended
June 30, 2023
Total
US$‘000
|
|||||||||
|
Revenues
|
3
|
|
|
|||||||||
|
Cost of sales
|
(
|
)
|
(
|
)
|
||||||||
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|
||||||||||||
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Gross profit
|
|
|
||||||||||
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Other operating income
|
|
|
||||||||||
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Research and development expenses
|
(
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)
|
(
|
)
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||||||||
|
Selling, general and administrative expenses
|
(
|
)
|
(
|
)
|
||||||||
|
Selling, general and administrative expenses – restructuring costs
|
(
|
)
|
|
|||||||||
|
Impairment charges
|
5
|
(
|
)
|
(
|
)
|
|||||||
|
|
||||||||||||
|
Operating loss
|
(
|
)
|
(
|
)
|
||||||||
|
Financial income
|
4
|
|
|
|||||||||
|
Financial expenses
|
4
|
(
|
)
|
(
|
)
|
|||||||
|
|
||||||||||||
|
Net financing expense
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||
|
Loss before tax from continuing operations
|
(
|
)
|
(
|
)
|
||||||||
|
Total income tax (charge)/credit
|
3
|
|
|
|||||||||
|
|
||||||||||||
|
Loss for the period from continuing operations
|
3
|
(
|
)
|
(
|
)
|
|||||||
|
|
||||||||||||
|
Profit for the period from discontinued operations
|
6
|
|
|
|||||||||
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|
||||||||||||
|
Loss for the period (all attributable to owners of the parent)
|
3
|
(
|
)
|
(
|
)
|
|||||||
|
|
||||||||||||
|
Basic loss per ADS (US cents) – Continuing operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Diluted loss per ADS (US cents) – Continuing operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Basic loss per ‘A’ ordinary share (US cents) – Continuing operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Diluted loss per ‘A’ ordinary share (US cents) – Continuing operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Basic loss per ADS (US cents) – Total operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Diluted loss per ADS (US cents) – Total operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Basic loss per ‘A’ ordinary share (US cents) – Total operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
|
Diluted loss per ‘A’ ordinary share (US cents) – Total operations
|
8
|
(
|
)
|
(
|
)
|
|||||||
F - 3
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023
|
|
Notes |
Six-month
period ended
June 30, 2024
Total
US$‘000
|
Six-month
period ended
June 30, 2023
Total
US$‘000
|
||||||
|
Loss for the period
|
(
|
)
|
(
|
)
|
|||||
|
Other comprehensive income/(loss):
|
|||||||||
|
Items that will be reclassified subsequently to profit or loss
|
|||||||||
|
Foreign exchange translation differences
|
|
|
|||||||
|
|
|||||||||
|
Other comprehensive income/(loss):
|
|
|
|||||||
|
|
|||||||||
|
Total Comprehensive Loss (all attributable to owners of the parent)
|
(
|
)
|
(
|
)
|
|||||
F - 4
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
|
|
Share capital
‘A’ ordinary shares US$’000 |
Share
premium US$’000 |
Treasury
Shares US$’000 |
Translation
reserve US$’000 |
Equity component of convertible note
US$’000
|
Other
reserves US$’000 |
Accumulated
surplus US$’000 |
Total
US$’000 |
||||||||||||||||||||||||
|
Balance at January 1, 2023
|
|
|
(
|
)
|
(
|
)
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||
|
Loss for the period
|
|
|
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||||
|
Other comprehensive income
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Total comprehensive loss
|
|
|
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||||
|
Shares issued during the period
|
|
|
|
|
|
(
|
)
|
|
|
|||||||||||||||||||||||
|
Share-based payments
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Balance at June 30, 2023
|
|
|
(
|
)
|
(
|
)
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Balance at January 1, 2024
|
|
|
(
|
)
|
(
|
)
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||
|
Loss for the period
|
|
|
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||||
|
Other comprehensive income
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Total comprehensive loss
|
|
|
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||||
|
Shares issued during the period
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
Share-based payments
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Balance at June 30, 2024
|
|
|
(
|
)
|
(
|
)
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||||||
F - 5
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023
|
|
Notes
|
Six-month
period ended
June 30, 2024
US$‘000
|
Six-month
period ended
June 30, 2023
US$‘000
|
|||||||||
|
Cash flows from operating activities
|
||||||||||||
|
Loss for the period
|
(
|
)
|
(
|
)
|
||||||||
|
Adjustments to reconcile net profit/(loss) to cash provided by operating activities:
|
||||||||||||
|
Depreciation
|
|
|
||||||||||
|
Amortisation
|
|
|
||||||||||
|
Income tax (charge)/credit
|
(
|
)
|
(
|
)
|
||||||||
|
Financial income
|
4
|
(
|
)
|
(
|
)
|
|||||||
|
Financial expense
|
4
|
|
|
|||||||||
|
Share-based payments
|
10
|
|
|
|||||||||
|
Foreign exchange gains on operating cash flows
|
|
(
|
)
|
|||||||||
|
Impairment charges
|
5
|
|
|
|||||||||
|
Gain on sale of business
|
6
|
|
(
|
)
|
||||||||
|
Other non-cash items
|
(
|
)
|
|
|||||||||
|
Net movement on working capital
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||
|
Cash used in operations
|
(
|
)
|
(
|
)
|
||||||||
|
Income taxes received/(paid)
|
|
(
|
)
|
|||||||||
|
|
||||||||||||
|
Net cash used in operating activities
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||
|
Cash flows from investing activities
|
||||||||||||
|
Payments to acquire intangible assets
|
(
|
)
|
(
|
)
|
||||||||
|
Acquisition of financial assets
|
|
(
|
)
|
|||||||||
|
Net proceeds from sale of business unit
|
6
|
|
|
|||||||||
|
Payments to acquire trades or businesses
|
(
|
)
|
|
|||||||||
|
Acquisition of property, plant and equipment
|
(
|
)
|
(
|
)
|
||||||||
|
Net cash generated by/(used in) investing activities
|
(
|
)
|
|
|||||||||
|
|
||||||||||||
|
Cash flows from financing activities
|
||||||||||||
|
Issue of ordinary share capital including share premium
|
(
|
)
|
|
|||||||||
|
Net proceeds from new senior secured term loan
|
11
|
|
|
|||||||||
|
Expenses paid in connection with debt financing
|
|
(
|
)
|
|||||||||
|
Repayment of senior secured term loan
|
11
|
|
(
|
)
|
||||||||
|
Penalty for early settlement of term loan
|
4
|
|
(
|
)
|
||||||||
|
Interest paid on senior secured term loan
|
(
|
)
|
(
|
)
|
||||||||
|
Interest paid on convertible note
|
(
|
)
|
(
|
)
|
||||||||
|
Interest payment on exchangeable notes
|
(
|
)
|
(
|
)
|
||||||||
|
Payment of lease liabilities
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||
|
Net cash used in financing activities
|
|
(
|
)
|
|||||||||
|
|
||||||||||||
|
Increase/(decrease) in cash and cash equivalents and short-term investments
|
|
|
||||||||||
|
Effects of exchange rate movements on cash held
|
(
|
)
|
|
|||||||||
|
Cash and cash equivalents and short-term investments at beginning of period
|
|
|
||||||||||
|
|
||||||||||||
|
Cash and cash equivalents at end of period
|
|
|
||||||||||
F - 6
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 1. | GENERAL INFORMATION |
Trinity Biotech plc (the “Company”) was founded in 1992 and listed on the Nasdaq Stock Market shortly after its formation. The Company is a commercial stage biotechnology company focused on diabetes management solutions and human diagnostics, including wearable biosensors. The Company develops, acquires, manufactures and markets diagnostic systems, including both reagents and instrumentation, for the point-of-care and clinical laboratory segments of the diagnostic market. The products are used to detect infectious diseases and to quantify the level of Haemoglobin A1c and other chemistry parameters in serum, plasma and whole blood and the Company intends to develop a range of biosensor devices and related services, starting with a continuous glucose monitoring product.
References in these Consolidated Condensed Interim Financial Statements to "Trinity Biotech" and the “Group” refer to Trinity Biotech plc and its consolidated subsidiaries.
These Condensed Consolidated Interim Financial Statements were approved for issuance by the Company’s Board of Directors on September 30, 2024.
| 2. |
BASIS OF PREPARATION AND ACCOUNTING POLICIES
|
These Consolidated Condensed Interim Financial Statements have been prepared in accordance with IAS 34, “Interim Financial Reporting” as issued by the International Accounting Standard Board (“IASB”) and as adopted by the European Union (“EU”). The accounting policies used in the preparation of these Consolidated Condensed Interim Financial Statements are consistent with those used in the audited Consolidated Financial Statements for the year ended December 31, 2023. These Consolidated Condensed Interim Financial Statements should be read in conjunction with the audited Consolidated Financial Statements for the year ended December 31, 2023, which have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the IASB and in conformity with IFRS as adopted by the EU.
None of the accounting pronouncements applicable after December 31, 2023 and as of the date of these Consolidated Condensed Interim Financial Statements had a material effect on the Company’s financial condition or the results of its operations.
| 3. |
SEGMENT INFORMATION
|
The Group comprises two main geographical segments (i) the Americas and (ii) Rest of World. The Group’s geographical segments are determined by the location of the Group’s assets and operations. The Group has also presented a geographical analysis of the segmental data for Ireland as is consistent with the information used by the Board of Directors.
The reportable operating segments derive their revenue primarily from one source (i.e. the market for diagnostic tests for a range of diseases and other medical conditions). In determining the nature of its segmentation, the Group has considered the nature of the products, their risks and rewards, the nature of the production base, the customer base and the nature of the regulatory environment. The Group acquires, manufactures and markets a range of diagnostic products. The Group’s products are sold to a similar customer base and the main body whose regulations the Group’s products must comply with is the Food and Drug Administration (“FDA”) in the US.
The following presents revenue and profit information and certain asset and liability information regarding the Group’s geographical segments.
| i) |
The distribution of revenue by major product group was as follows:
|
|
Six-month period ended
|
||||||||
|
Revenue
|
June 30,2024
US$‘000
|
June 30,2023
US$‘000
|
||||||
|
Clinical laboratory goods
|
|
|
||||||
|
Clinical laboratory services
|
|
|
||||||
|
Point-of-care products
|
|
|
||||||
|
|
||||||||
|
|
|
|
||||||
F - 7
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 3. |
SEGMENT INFORMATION (CONTINUED)
|
| ii) |
The distribution of segment results by geographical area was as follows:
|
|
|
Rest of World
|
|||||||||||||||
|
|
Americas
|
Ireland
|
Other
|
Total
|
||||||||||||
|
Six-month period ended June 30, 2024
|
US$‘000
|
US$‘000
|
US$‘000
|
US$‘000
|
||||||||||||
|
Result before restructuring costs, impairment and unallocated expenses
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
|
Restructuring costs
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||
|
Impairment
|
(
|
)
|
|
|
(
|
)
|
||||||||||
|
|
||||||||||||||||
|
Result after restructuring costs and impairment
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
|
Unallocated expenses *
|
(
|
)
|
||||||||||||||
|
|
|
|||||||||||||||
|
Operating loss
|
(
|
)
|
||||||||||||||
|
Net financing expense
|
(
|
)
|
||||||||||||||
|
|
||||||||||||||||
|
Loss before tax
|
(
|
)
|
||||||||||||||
|
Income tax credit
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Loss for the period on continuing operations
|
(
|
)
|
||||||||||||||
|
Profit for the period on discontinued operations
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Loss for the six-month period
|
(
|
)
|
||||||||||||||
The distribution of segment results by geographical area was as follows:
|
|
Rest of World
|
|||||||||||||||
|
|
Americas
|
Ireland
|
Other
|
Total
|
||||||||||||
|
Six-month period ended June 30, 2023
|
US$‘000
|
US$‘000
|
US$‘000
|
US$‘000
|
||||||||||||
|
Result before restructuring costs, impairment and unallocated expenses
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
|
Restructuring costs
|
|
|
|
|
||||||||||||
|
Impairment
|
(
|
)
|
|
|
(
|
)
|
||||||||||
|
|
||||||||||||||||
|
Result after impairment
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
|
Unallocated expenses *
|
(
|
)
|
||||||||||||||
|
|
|
|||||||||||||||
|
Operating loss
|
(
|
)
|
||||||||||||||
|
Net financing expense
|
(
|
)
|
||||||||||||||
|
|
||||||||||||||||
|
Loss before tax
|
(
|
)
|
||||||||||||||
|
Income tax credit
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Loss for the period on continuing operations
|
(
|
)
|
||||||||||||||
|
Profit for the period on discontinued operations
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Loss for the six-month period
|
(
|
)
|
||||||||||||||
| * |
Unallocated expenses represent head office general and administration costs of the Group, which cannot be allocated to the results of any specific geographical area.
|
The Group is currently undergoing a comprehensive transformation plan to include, inter alia, consolidating and outsourcing of manufacturing operations, the simplification and shifting of internal operations, and the reduction of headcount to achieve additional efficiencies. A press release in April 2024 set out information with regards to the restructure of the business, including the ceasing of manufacturing operations at our Kansas City plant, with the anticipation that this would be completed by the end of 2024. Additionally, we detailed an initiative to move significant aspects of our business support functions to a lower cost and centralised location, with the view to have this completed by the end of 2024 also. At June 30, 2024, the Group has recognized a provision of $1.9 million in relation to the ongoing transformation.
F - 8
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 3. |
SEGMENT INFORMATION (CONTINUED)
|
| iii) |
The distribution of segment assets and liabilities by geographical area was as follows:
|
|
|
Rest of World
|
|||||||||||||||
|
|
Americas
|
Ireland
|
Other
|
Total
|
||||||||||||
|
As at June 30, 2024
|
US$‘000
|
US$‘000
|
US$‘000
|
US$‘000
|
||||||||||||
|
Assets and liabilities
|
||||||||||||||||
|
Segment assets
|
|
|
|
|
||||||||||||
|
Unallocated assets:
|
||||||||||||||||
|
Income tax assets (current and deferred)
|
|
|||||||||||||||
|
Cash and cash equivalents and short-term investments
|
|
|||||||||||||||
|
Total assets as reported in the Statement of Financial Position
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Segment liabilities
|
|
|
|
|
||||||||||||
|
Unallocated liabilities:
|
||||||||||||||||
|
Income tax liabilities (current and deferred)
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Total liabilities as reported in the Statement of Financial Position
|
|
|||||||||||||||
|
|
Rest of World
|
|||||||||||||||
|
|
Americas
|
Ireland
|
Other
|
Total
|
||||||||||||
|
As at December 31, 2023
|
US$‘000
|
US$‘000
|
US$‘000
|
US$‘000
|
||||||||||||
|
Assets and liabilities
|
||||||||||||||||
|
Segment assets
|
|
|
|
|
||||||||||||
|
Unallocated assets:
|
||||||||||||||||
|
Income tax assets (current and deferred)
|
|
|||||||||||||||
|
Cash and cash equivalents and short-term investments
|
|
|||||||||||||||
|
Total assets as reported in the Statement of Financial Position
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Segment liabilities
|
|
|
|
|
||||||||||||
|
Unallocated liabilities:
|
||||||||||||||||
|
Income tax liabilities (current and deferred)
|
|
|||||||||||||||
|
|
||||||||||||||||
|
Total liabilities as reported in the Statement of Financial Position
|
|
|||||||||||||||
F - 9
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 4. |
FINANCIAL INCOME AND EXPENSES
|
|
Six month period ended
|
||||||||
|
|
June 30, 2024
US$‘000
|
June 30, 2023
US$‘000
|
||||||
|
Financial income:
|
||||||||
|
Fair value adjustments of derivative financial instruments (Note 11)
|
|
|
||||||
|
|
||||||||
|
|
|
|
||||||
|
|
||||||||
|
Financial expense:
|
||||||||
|
Interest on leases
|
(
|
)
|
(
|
)
|
||||
|
Penalty for early repayment of senior secured term loan (Note 11)
|
|
(
|
)
|
|||||
|
Cash interest on convertible & exchangeable notes
|
(
|
)
|
(
|
)
|
||||
|
Cash interest on senior secured term loan (Note 11)
|
(
|
)
|
(
|
)
|
||||
|
Accretion interest on convertible & exchangeable notes (Note 11)
|
(
|
)
|
(
|
)
|
||||
|
Accretion on senior secured term loan (Note 11)
|
(
|
)
|
(
|
)
|
||||
|
Accretion interest on contingent liability
|
(
|
)
|
|
|||||
|
Fair value adjustments of derivative financial instruments (Note 11)
|
(
|
)
|
(
|
)
|
||||
|
Capitalization of borrowing costs
|
|
|
||||||
|
EIR catch up adjustment
|
|
|
||||||
|
|
||||||||
|
|
(
|
)
|
(
|
)
|
||||
|
Net Financing Expense
|
(
|
)
|
(
|
)
|
||||
|
5. |
IMPAIRMENT CHARGES
|
In accordance with IAS 36, Impairment of Assets, the Group carried out an impairment review of the asset valuations as at June 30, 2024. The impact of the impairments on the statement of operations for the six-month period ended June 30, 2024 was as follows:
|
Six month period ended
|
||||||||
|
June 30,2024
|
June 30,2023
|
|||||||
|
|
US$’000
|
US$’000
|
||||||
|
Impairment of PP&E
|
|
|
||||||
|
Impairment of goodwill and other intangible assets
|
|
|
||||||
|
Impairment of financial assets
|
|
|
||||||
|
|
||||||||
|
Total impairment loss
|
|
|
||||||
The Group recognized an impairment loss of US$446 ,000 in the six-month period ended June 30, 2024 (six months ended June 30, 2023: US$10,815 ,000). In accordance with IAS 36, Impairment of Assets, the Group carries out periodic impairment reviews of its asset carrying values. There are a number of factors taken into account in calculating the impairment, including the Company’s period-end share price, calculation of the cost of capital, and future projected cash flows for individual cash-generating units in the business. In addition, the Group examines individual development project assets for indicators of impairment.
The impairment test performed as at June 30, 2024 identified that the value in use of some of our cash generating units was below the value of the carrying amount of their assets, other than inventories, accounts receivable, cash and cash equivalents and deferred tax assets. The Company therefore recorded an impairment charge in relation to the asset additions (including lease assets) that had been recorded during 2024.
F - 10
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 6. |
DISCONTINUED OPERATIONS
|
In April 2023, the Company announced the sale of its Fitzgerald Industries life sciences supply business, consisting of Benen Trading Ltd and Fitzgerald Industries International, Inc., to Biosynth for cash proceeds of approximately US$30 million, subject to customary adjustments. The Company used approximately US$11 million of the proceeds of the sale to repay approximately US$10.1 million of its senior secured debt held by Perceptive Advisors (“Perceptive”) plus an approximately US$905,000 early repayment penalty. In connection with this transaction, the Company entered into an amendment to its senior secured term loan credit facility with Perceptive, which significantly reduced the Company’s minimum revenue covenants under that loan.
|
June 30,
2024
US$000
|
June 30,
2023
US$000
|
|||||||
|
Revenue
|
|
|
||||||
|
Expenses
|
|
(
|
)
|
|||||
|
Operating income
|
|
|
||||||
|
Profit before tax from discontinued operations
|
|
|
||||||
|
Tax expense:
|
||||||||
|
Related to current pre-tax profit/(loss)
|
|
|
||||||
|
Gain on sale of the discontinued operations
|
|
|
||||||
|
Profit after tax for the period from discontinued operations
|
|
|
||||||
The net cashflows generated from the sale of Fitzgerald Industries International Inc. are as follows:
|
|
June 30,
2024
US$000
|
June 30,
2023
US$000
|
||||||
|
Cash received from sale of the discontinued operations net of transaction costs
|
|
|
||||||
|
Cash sold as a part of discontinued operations
|
|
(
|
)
|
|||||
|
Net cash inflow on date of disposal
|
|
|
||||||
F - 11
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 7. |
GOODWILL AND INTANGIBLE ASSETS
|
|
June 30,
2024
US$000
|
December 31,
2023
US$000
|
|||||||
|
Cost
|
||||||||
|
Goodwill
|
|
|
||||||
|
Development costs
|
|
|
||||||
|
Patents and licenses
|
|
|
||||||
|
Other
|
|
|
||||||
|
Total cost
|
|
|
||||||
|
Less accumulated amortization and impairment
|
(
|
)
|
(
|
)
|
||||
|
Carrying amount
|
|
|
||||||
The increase in gross intangible assets during the six-month period ended June 30, 2024 of US$26,280,000 is primarily attributable to the acquisition of the Waveform assets and the capitalization of costs in relation to the development of our next generation CGM system. Additional information in relation to the acquisition of the Waveform assets is included in note 14 Business Combinations.
| 8. |
LOSS PER SHARE
|
Basic loss per ordinary share
Basic loss per ordinary share for the Group is computed by dividing the loss after taxation of US$10,074 ,000 (2023: loss of US$11,797 ,000) for the six-month period ended June 30, 2024 by the weighted average number of ‘A’ Ordinary shares in issue, net of any Treasury Shares, during the year. As at June 30, 2024 the number of ‘A’ Ordinary shares for the purpose of the calculation of basic (loss)/earnings per share are 183,376,218 shares (2023:152,885,033 shares).
|
|
June 30,
2024
|
June 30,
2023
|
||||||
|
‘A’ ordinary shares
|
|
|
||||||
|
|
||||||||
|
Basic (loss)/earnings per share denominator
|
|
|
||||||
|
|
||||||||
|
Reconciliation to weighted average (loss)/earnings per share denominator:
|
||||||||
|
Number of ‘A’ Ordinary shares at January 1
|
|
|
||||||
|
Weighted average number of ‘A’ Ordinary shares issued during the year
|
|
|
||||||
|
Weighted average number of treasury shares
|
(
|
)
|
(
|
)
|
||||
|
|
||||||||
|
Basic (loss)/earnings per share denominator
|
|
|
||||||
In January 2024, the Company announced it had agreed to acquire the continuous glucose monitoring (“CGM”) assets of Waveform Technologies, Inc. (“Waveform”). In connection with the acquisition, Trinity Biotech issued 36 million ‘A’ Ordinary shares to Perceptive. Refer to note 14 for further information.
F - 12
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 8. |
LOSS PER SHARE (CONTINUED) |
Diluted loss per ordinary share
Diluted loss per share is computed by dividing the adjusted profit or loss attributable to owners of the parent, by the weighted average number of ‘A ‘Ordinary shares in issue, net of any Treasury Shares, during the year, plus the weighted average number of ‘A’ Ordinary shares that would be issued on the conversion of all the dilutive potential ‘A’ Ordinary shares into ‘A’ Ordinary shares. As the potentially dilutive instruments were anti-dilutive in all periods presented, basic (loss)/earnings per ‘A’ Ordinary share and diluted (loss)/earnings per ‘A’ Ordinary share are equivalent.
|
|
June 30,
2024
|
June 30,
2023
|
||||||
|
Potentially Dilutive Instruments:
|
||||||||
|
Basic loss per share denominator
|
|
|
||||||
|
Issuable on conversion of Exchangeable notes
|
|
|
||||||
|
Issuable on conversion of Convertible note
|
|
|
||||||
|
Issuable on exercise of options
|
|
|
||||||
|
Issuable on exercise of warrants
|
|
|
||||||
|
|
||||||||
|
Diluted loss per share denominator
|
|
|
||||||
| 9. |
INVENTORIES
|
|
|
June 30,2024
US$‘000
|
December 31,
2023
US$‘000
|
||||||
|
Raw materials and consumables
|
|
|
||||||
|
Work-in-progress
|
|
|
||||||
|
Finished goods
|
|
|
||||||
|
|
||||||||
|
|
|
|
||||||
All inventories are stated at the lower of cost or net realisable value. The replacement cost of inventories does not differ from cost. Total inventories for the Group are shown net of provisions of US$10,531,000 (December 31, 2023: US$11,344,000 ).
F - 13
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 10. |
SHARE OPTIONS AND SHARE WARRANTS
|
Options
In February 2024, the Company changed the ratio of the ADSs representing its ‘A’ Ordinary shares from one (1) ADS representing four (4) ‘A’ Ordinary shares to one (1) ADS representing twenty (20) ‘A’ ordinary shares.
Under the terms of the Company’s Employee Share Option Plans, options to purchase 59,014,672 ‘A’ Ordinary Shares (2,950,734 ADSs) were outstanding at June 30, 2024. Under these Plans, options are granted to officers, employees and consultants of the Group at the discretion of the Compensation Committee (designated by the Board of Directors), under the terms outlined below. The number and weighted average exercise price of share options and warrants per ordinary share is as follows (as required by IFRS 2, this information relates to all grants of share options and warrants by the Group):
|
|
Options and
|
Weighted-
average exercise price
US$
|
Exercise
price range
US$
|
|||||||||
|
|
warrants
‘A’ Ordinary
Shares
|
Per ‘A’
Ordinary
Share
|
Per ‘A’
Ordinary
Share
|
|||||||||
|
Outstanding January 1, 2023
|
|
|
|
|||||||||
|
Granted
|
|
|
|
|||||||||
|
Exercised
|
(
|
)
|
|
|
||||||||
|
Expired / Forfeited
|
(
|
)
|
|
|
||||||||
|
|
||||||||||||
|
Outstanding at June 30, 2023
|
|
|
|
|||||||||
|
|
||||||||||||
|
Exercisable at June 30, 2023
|
|
|
|
|||||||||
|
|
||||||||||||
|
Outstanding January 1, 2024
|
|
|
|
|||||||||
|
Granted
|
|
|
|
|||||||||
|
Exercised
|
|
|
|
|||||||||
|
Expired / Forfeited
|
|
|
|
|||||||||
|
Outstanding at June 30, 2024
|
|
|
|
|||||||||
|
Exercisable at June 30, 2024
|
|
|
|
|||||||||
The total share-based payments charge for the six months ended June 30, 2024 was US$926,000 (six months ended June 30, 2023: US$2,339,000 ).
Warrants
In connection with the acquisition of the Waveform assets and the Amendment of the Term Loan in January 2024, Perceptive received new warrants to purchase an additional 10,000,000 ‘A’ Ordinary shares and the Company agreed to price those additional warrants and reprice the existing warrants to purchase the 10,00,000 shares that were issued to Perceptive under the original term loan, with an exercise price of US$0.11 per ‘A’ Ordinary share.
Warrants to purchase 1,200,000 ‘A’ Ordinary shares have been issued to a consultant assisting with our CGM business. The exercise price is US$0.11 per ‘A’ Ordinary share. The warrants are exercisable, in whole or part, until the fifth anniversary of the issue date in January 2024.
F - 14
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 11. |
BORROWINGS
|
| (i) |
Senior secured term loan
|
The movement in the senior secured term loan in the six months ended June 30, 2024 was as follows:
|
Six-month period ended June 30, 2024
US$000
|
Year ended December 31, 2023
US$000
|
|||||||
|
Balance at start of period
|
(
|
)
|
(
|
)
|
||||
|
Cash drawdown
|
(
|
)
|
(
|
)
|
||||
|
Loan origination costs
|
|
|
||||||
|
Derivative financial liability at date of issue
|
|
|
||||||
|
Derivative financial asset at date of issue
|
(
|
)
|
(
|
)
|
||||
|
Accretion interest
|
(
|
)
|
(
|
)
|
||||
|
Cash repayment of principal
|
|
|
||||||
|
EIR Catch up adjustment
|
|
|
||||||
|
Balance at end of period
|
(
|
)
|
(
|
)
|
||||
In connection with the acquisition of the CGM assets of Waveform, in January 2024 the Company has entered into the Amended Term Loan with its main lender, Perceptive. Under the Amended Term Loan, an additional $22 million of funding has been made available to the Company, with US$12.5 million being used to acquire the CGM assets of Waveform. The remaining US$9.5 million is available for general corporate purposes including for the further development of the CGM and biosensor technologies. In addition, the Amended Term Loan provided for additional liquidity of up to US$6.5 million, this additional funding was drawn down in April 2024.
The Amended Term Loan also immediately reduced the annual rate of interest on the loan by 2.5 % to 8.75 % (the “Base Rate”) plus the greater of (a) Term Secured Overnight Financing Rate (SOFR) or (b) 4.0 % per annum and allows for a further 2.5 % reduction in the Base Rate to 6.25 % once the outstanding principal under the Amended Term Loan falls below US$35 million. Additionally, the Amended Term Loan reduced the early repayment penalty from a range of 8 % to 7 % to 4.0 % to 3.5 %, dependent on timing of early repayment, and also reduced the revenue covenants. The Amended Term Loan matures in January 2026.
There are two other balances related to the term loan which are: a) a derivative financial asset and b) a derivative financial liability. The movement in the derivative financial asset in the six months ended June 30, 2024 was as follows:
|
US$000
|
||||
|
Balance at January 1, 2024
|
|
|||
|
Event driven movement in derivative financial asset
|
|
|||
|
Fair value adjustments in the period
|
(
|
)
|
||
|
Non-current asset at June 30, 2024
|
|
|||
F - 15
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 11. |
BORROWINGS (CONTINUED)
|
| (i) |
Senior secured term loan (continued)
|
The movement in the derivative financial liability in the six months ended June 30, 2024 was as follows:
|
US$000
|
||||
|
Balance at January 1, 2024
|
(
|
)
|
||
|
Event driven movement in derivative financial liability
|
|
|||
|
Fair value adjustments in the period
|
(
|
)
|
||
|
Non-current liability at June 30, 2024
|
(
|
)
|
||
The fair value of the derivative financial asset is estimated at US$193,000 at June 30, 2024 and represents the value to the Company of being able to repay the term loan early and potentially refinance at a lower interest rate. The fair value of the derivative financial liability is estimated at US$1.4 million at June 30, 2024 and represents the fair value of the warrants issued to Perceptive. In connection with the Amended Term Loan, Perceptive received new warrants to purchase an additional 10,000,000 ‘A’ Ordinary shares (500,000 ADSs) and the Company has agreed to price these additional warrants and reprice the existing warrants to purchase 10,000,000 ‘A’ Ordinary shares (500,000 ADSs) that were issued to Perceptive under the original term loan, with an exercise price of US$0.11 per ‘A’ Ordinary shares (US$2.20 per ADS).
The fair value remeasurement for these two derivative financial balances resulted in net financial expense of US$0.9 million being recognized in the Income Statement in the six-month period ended June 30, 2024.
| (ii) |
7-year convertible note
|
The movement in the 7-year convertible note in the six months ended June 30, 2024 was as follows:
|
Six-month period ended June 30, 2024
US$000
|
Year ended December 31, 2023
US$000
|
|||||||
|
Balance at start of period
|
(
|
)
|
(
|
)
|
||||
|
Accretion interest
|
(
|
)
|
(
|
)
|
||||
|
Balance at end of period
|
(
|
)
|
(
|
)
|
||||
In May 2022, the Company announced a US$45.2 million investment from MiCo IVD Holdings, LLC. The investment consists of an equity investment of US$25.2 million and a seven-year, unsecured junior convertible note of US$20.0 million. The convertible note has an interest rate of 1.5 %. The convertible note mandatorily converts into ADSs if the volume weighted average price of the Company’s ADSs is at or above US$16.20 for any five consecutive Nasdaq trading days. For further details on the convertible note, refer to the Company’s Form 6-K filings with the SEC on April 11, 2022.
The convertible note is accounted for as a compound financial instrument containing both an equity and liability element. The debt component is accounted for at amortized cost in accordance with IFRS 9. At June 30, 2024, the carrying value of the convertible note’s debt component was US$15 million and accretion interest of US$0.4 million has been recognized as a financial expense in the six-months ended June 30, 2024. The equity component of the convertible note is US$6.7 million and has been recorded in the equity section of the statement of financial position as equity. There is no remeasurement of the equity element following initial recognition.
F - 16
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 11. |
BORROWINGS (CONTINUED)
|
| (iii) |
Exchangeable Notes
|
The balances of the exchangeable notes in the six months ended June 30, 2024 were as follows:
|
Six-month period ended June 30, 2024
US$000
|
Year ended
December 31, 2023
US$000
|
|||||||
|
Balance at start of period
|
(
|
)
|
(
|
)
|
||||
|
Balance at end of period
|
(
|
)
|
(
|
)
|
||||
In 2022, the Company retired approximately 99.7 % of the exchangeable notes as part of a debt re-financing. The carrying value of the exchangeable notes at June 30, 2024 is US$210,000 (which is the same as the nominal value) and this is shown within Current Liabilities as it is management’s intention to repay the remaining notes within the next twelve months.
F - 17
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 12. |
SHARE CAPITAL |
|
Six-months ended June 30, 2024
|
Year ended December 31, 2023
|
|||||||
|
|
Class ‘A’
Ordinary shares
|
Class ‘A’
Ordinary shares
|
||||||
|
In thousands of shares
|
||||||||
|
In issue at January 1
|
|
|
||||||
|
Issued for cash
|
|
|
||||||
|
Issued as consideration for Waveform acquisition (a)
|
|
|
||||||
|
|
||||||||
|
At period end
|
|
|
||||||
|
Six-months ended June 30, 2024
|
Year ended December 31, 2023
|
|||||||
|
|
ADS
|
ADS
|
||||||
|
In thousands of ADSs
|
||||||||
|
Balance at January 1
|
|
|
||||||
|
Issued for cash
|
|
|
||||||
|
Issued as consideration for Waveform acquisition (a)
|
|
|
||||||
|
|
||||||||
|
At period end
|
|
|
||||||
The amounts in the tables above are inclusive of Treasury Shares. The number of Treasury Shares is as follows:
|
Six-months ended June 30, 2024
|
Year ended December 31, 2023
|
|||||||
|
|
Class ‘A’
Treasury shares
|
Class ‘A’
Treasury shares
|
||||||
|
In thousands of shares
|
||||||||
|
Balance at January 1
|
|
|
||||||
|
Purchased during period
|
|
|
||||||
|
|
||||||||
|
At period end
|
|
|
||||||
|
Six-months ended June 30, 2024
|
Year ended December 31, 2023
|
|||||||
|
|
ADS
Treasury shares
|
ADS
Treasury shares
|
||||||
|
In thousands of ADSs
|
||||||||
|
Balance at January 1
|
|
|
||||||
|
Purchased during period
|
|
|
||||||
|
|
||||||||
|
At period end
|
|
|
||||||
| (a) |
During the six-months ended June 30, 2024, the Company issued
|
F - 18
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 13. |
CAPITAL MANAGEMENT
|
Fair Values
For financial reporting purposes, fair value measurements are categorized into Level 1, 2 or 3 based on the degree to which inputs to the fair value measurements are observable and the significance of the inputs to the fair value measurement in its entirety, which are described as follows:
| Level 1: |
quoted prices (unadjusted) in active markets for identical assets or liabilities
|
| Level 2: |
valuation techniques for which the lowest level of inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly
|
| Level 3: |
valuation techniques for which the lowest level of inputs that have a significant effect on the recorded fair value are not based on observable market data.
|
The table below sets out the Group’s classification of each class of financial assets/liabilities, their fair values and under which valuation method they are valued:
|
|
Level 1
|
Level 2
|
Total
carrying
amount
|
Fair
Value
|
||||||||||||
|
|
US$’000
|
US$’000
|
US$’000
|
US$’000
|
||||||||||||
|
June 30, 2024
|
||||||||||||||||
|
Loans and receivables at amortised cost
|
||||||||||||||||
|
Trade receivables
|
|
|
|
|
||||||||||||
|
Cash and cash equivalents
|
|
|
|
|
||||||||||||
|
Finance lease receivable
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
||||||||||||
|
Liabilities at amortised cost
|
||||||||||||||||
|
Senior secured term loan
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Convertible loan note
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Exchangeable note
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Lease liabilities
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
Trade and other payables (excluding deferred income)
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
Provisions
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
|
||||||||||||||||
|
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
|
|
||||||||||||||||
|
Fair value through profit and loss (FVPL)
|
||||||||||||||||
|
Derivative liability – warrants
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Derivative asset – prepayment option
|
|
|
|
|
||||||||||||
|
|
||||||||||||||||
|
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
F - 19
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 13. |
CAPITAL MANAGEMENT (CONTINUED)
|
|
|
Level 1
|
Level 2
|
Total
carrying
amount
|
Fair
Value
|
||||||||||||
|
|
US$’000
|
US$’000
|
US$’000
|
US$’000
|
||||||||||||
|
December 31, 2023
|
||||||||||||||||
|
Loans and receivables at amortised cost
|
||||||||||||||||
|
Trade receivables
|
|
|
|
|
||||||||||||
|
Cash and cash equivalents
|
|
|
|
|
||||||||||||
|
Finance lease receivable
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
||||||||||||
|
|
||||||||||||||||
|
Liabilities at amortised cost
|
||||||||||||||||
|
Senior secured term loan
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Convertible note
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Exchangeable note
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Lease liabilities
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
Trade and other payables (excluding deferred income)
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
Provisions
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|||||||||
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Fair value through profit and loss (FVTPL)
|
||||||||||||||||
|
Derivative liability – warrants
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
Derivative asset – prepayment option
|
|
|
|
|
||||||||||||
|
|
||||||||||||||||
|
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||
|
|
||||||||||||||||
|
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
| 14. | BUSINESS COMBINATION |
On January 30, 2024, we acquired the biosensor and Continuous Glucose Monitoring (“CGM”) assets of privately held Waveform Technologies, Inc. (“Waveform”) for initial consideration of US$12.5 million in cash and 36 million ‘A’ Ordinary shares (represented by 1.8 million ADSs) of the Company plus contingent consideration of a maximum of US$20 million. We intend to update the Waveform CGM device, which is not being marketed, and optimize it for broad adoption and then evolve this platform technology to measure and analyze other valuable biomarkers and related datapoints. Our vision is to develop a portfolio of technologies that can offer users and clinicians valuable actionable health and wellness insights. The integrated set of activities and assets purchased will significantly contribute to achieving our vision and its associated outputs.
Waveform, a developer of novel and proprietary new technologies for diabetes care, received a CE Mark for its Cascade CGM in 2019, which was commercially available in Europe. The primary use of the device is to continuously monitor glucose in the human body. The Waveform CGM technology was developed over many years and contains innovative and proprietary aspects with what we believe are important benefits. Waveform granted a perpetual, worldwide, non-exclusive license to DexCom, Inc. and its affiliates, for some of the patents acquired by us, which we retain the right to use and exploit.
F - 20
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 14. | BUSINESS COMBINATION (CONTINUED) |
The transaction has been accounted for as a business combination under IFRS 3, which requires assets acquired and liabilities assumed to be measured at their fair values at the acquisition date. The details of the business combination are as follows:
|
|
US$’000
|
|||
|
Fair Value of Consideration
|
||||
|
Cash
|
|
|||
|
Equity Instruments (
|
|
|||
|
Contingent Consideration Arrangement
|
|
|||
|
|
||||
|
Recognized amounts of identifiable net assets
|
||||
|
Non-current assets
|
||||
|
Property, plant and equipment
|
|
|||
|
Other intangible assets
|
|
|||
|
Financial assets
|
|
|||
|
Total non-current assets
|
|
|||
|
Current assets
|
||||
|
Inventory
|
|
|||
|
Other receivables
|
|
|||
|
Total current assets
|
|
|||
|
Current liabilities
|
||||
|
Trade and other payables
|
(
|
)
|
||
|
Total current liabilities
|
(
|
)
|
||
|
Non-current liabilities
|
||||
|
Deferred tax liability
|
(
|
)
|
||
|
Total non-current liabilities
|
(
|
)
|
||
|
Identifiable net assets
|
|
|||
|
Goodwill on acquisition
|
|
|||
|
Consideration settled in cash
|
|
|||
|
Acquisition costs charged to expenses
|
|
|||
|
Net cash paid relating to the acquisition
|
|
|||
Acquisition-related costs amounting to US$1,516,000 are not included as part of consideration transferred and have been recognized as an expense in the condensed consolidated statement of profit or loss, as part of other expenses.
F - 21
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 14. | BUSINESS COMBINATION (CONTINUED) |
Contingent consideration of up to US$20 million may be payable upon the occurrence of certain events, including;
| • |
|
| • |
|
The fair value of the contingent consideration at date of acquisition was US$6.8 million. As of 30 June 2024, neither the amount recognized consideration arrangement, nor the assumptions used to the develop the estimates have changed since initial recognition.
| 15. | CONTINGENCIES |
| (a) | Government Grant Contingencies |
The Group has received training and employment grant income from Irish development agencies. Subject to existence of certain conditions specified in the grant agreements, this income may become repayable. No such conditions existed as at June 30, 2024. However, if the income were to become repayable, the maximum amounts repayable as at June 30, 2024 would amount to US$3,291,000 (June 30, 2023 US$3,350,000 ).
| (b) | Other Contingencies |
The Group has other contingencies primarily relating to claims and legal proceedings, onerous contracts, product warranties and employee-related provisions. The status of each significant claim and legal proceeding in which the Group is involved is reviewed by management on a periodic basis and the Group’s potential financial exposure is assessed.
If the potential loss from any claim or legal proceeding is considered probable, and the amount can be reliably estimated, liability is recognized for the estimated loss. Because of the uncertainties inherent in such matters, the related provisions are based on the best information available at the time; the issues taken into account by management and factored into the assessment of legal contingencies include, as applicable, the status of settlement negotiations, interpretations of contractual obligations, prior experience with similar contingencies/claims, and advice obtained from legal counsel and other third parties.
The Group expects the majority of these provisions will be utilized within one to three years of the balance sheet date; however due to the nature of the legal provisions there is a level of uncertainty in the timing of settlement as the Group generally cannot determine the extent and duration of the legal process.
From time to time, we are subject to reviews, examinations, and audits by tax authorities in the jurisdictions in which we operate. We believe our tax estimates are reasonable and take the appropriate external tax advice where required.
F - 22
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 16. | RELATED PARTY TRANSACTIONS |
The Group has entered into various arrangements with JRJ Investments (“JRJ”), a partnership owned by Mr O’Caoimh and Dr Walsh, directors of Trinity Biotech, and directly with Mr O'Caoimh, to provide premises at IDA Business Park, Bray, County Wicklow, Ireland. Commencing in December 2003, the Group entered into an agreement with JRJ for a 25-year lease for offices that were then adjacent to its then premises at IDA Business Park, Bray, Co. Wicklow, Ireland.
In 2007 the Group entered into a 25-year lease agreement with Mr O’Caoimh and Dr Walsh for a 43,860 square foot manufacturing facility in Bray, Ireland. Subsequent to the signing of this lease, the ownership of the building transferred from JRJ to Mr O’Caoimh solely. A rent review of this facility is currently ongoing and has been referred to an independent arbitrator for determination. In 2016 the Group entered into 10-year lease agreement with Mr O’Caoimh for a warehouse of 16,000 square feet adjacent to the leased manufacturing facility in Bray, Ireland.
The total rent for the three premises is US$1.3 million annually. Upward-only rent reviews are carried out every five years and there have been no increases to date arising from these rent reviews, although a rent review for the 43,860 square foot manufacturing facility is currently ongoing.
| 17. | POST BALANCE SHEET EVENTS |
Extension to Demonstrate Compliance with Nasdaq Listing Requirements
In July 2024, the Company announced that it had obtained an extension to demonstrate compliance with a continued listing requirement of The Nasdaq Global Select Market. As previously reported in a Current Report on Form 6-K filed November 29, 2023, the Company received a deficiency letter from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) on November 21, 2023. The letter notified the Company that, for the preceding 30 consecutive business days , the market value of publicly held shares ("MVPHS") had remained below the minimum US$15 million threshold required for continued listing on The Nasdaq Global Select Market pursuant to Nasdaq Listing Rule 5450(b)(3)(c) (the “MVPHS Requirement”).
On July 16, 2024, the Company met with the Nasdaq Hearings Panel (the “Panel”) to discuss its plan to regain compliance with the MVPHS Requirement and requested an extension until October 31, 2024, to demonstrate compliance. On August 1, 2024, the Panel granted the Company an extension until October 31, 2024, to meet the MVPHS Requirement.
Senior management changes
In July 2024, the Company announced the appointment of Louise Tallon as Chief Financial Officer (“CFO”), with Louise joining the Company in August 2024. Des Fitzgerald, who has acted as interim CFO since December 2023 continued as interim CFO until late July 2024. Louise joined the company from Inizio, a leading global commercialization partner in pharmaceuticals, where she acted as Head of Group Finance. Prior to this, she had a 16-year career with UDG Healthcare plc, where she held several senior finance roles of increasing responsibility. Over her 19-year career in the life sciences industry, as a transformative leader, Louise has been at the forefront of adapting and evolving finance functions in a rapidly changing business landscape. Louise trained as an accountant in KPMG, having received a BBS, Finance, Economics and Business in Trinity College Dublin.
Additionally, it was announced in July that Simon Dunne, Chief Accounting Officer of Trinity Biotech, would be leaving the Company in late August 2024.
Contingency relating to the sale of Fitzgerald Industries
On April 27, 2023, the Company announced it had closed the sale of Fitzgerald Industries (“Fitzgerald”) to Biosynth for cash proceeds of approximately US$30 million subject to customary adjustments. In August 2024, Biosynth sent the Company a written notice purporting to be a formal breach of warranty claim on the Company but as no supporting evidence was presented to show that a breach of warranty has occurred, it failed to satisfy the requirements of a formal breach of warranty claim as set out in the Share Purchase Agreement. On September 26, 2024, the Company received additional correspondence from Biosynth which we are currently considering. At the date of approval of these financial statements, the Company believes there is no loss or cause of loss and it is disputed whether certain events have occurred or whether those events result in a present obligation. No liability has therefore been recorded for this possible obligation in the Statement of Financial Position as at June 30, 2024.
F - 23
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
SIX-MONTH PERIOD ENDED JUNE 30, 2024
| 17. | POST BALANCE SHEET EVENTS (CONTINUED) |
At the Market Offering Agreement
In July 2024, the Company entered into an At the Market Offering Agreement (the “Sales Agreement”) with Craig-Hallum Capital Group LLC (“Craig-Hallum”), pursuant to which the Company may sell its ADSs through Craig-Hallum, acting as sales agent.
Subject to the terms and conditions of the Sales Agreement, the Company will, from time to time, set the parameters for the sale of ADSs, including any price, time or size limits or other customary parameters or conditions, and Craig-Hallum will use its commercially reasonable efforts to sell the ADSs when requested by the Company. The Company will pay Craig Hallum a commission equal to 3.0 % of the gross sales price of ADSs sold.
Sales of the ADSs under the Sales Agreement may be made by any method permitted by law deemed to be an “at the market offering” as defined in Rule 415(a)(4) under the Securities Act of 1933, as amended. The ADSs are sold pursuant to the Company’s Registration Statement on Form F-3, which became effective on June 28, 2023. On July 12, 2024, the Company filed a Prospectus Supplement with the SEC relating to the offering of up to US$5,500,000 in ADSs pursuant to the Sales Agreement and on August 29, 2024, the Company filed another Prospectus Supplement with the SEC relating to the offering of up to an additional US$1,870,000 in ADSs pursuant to the Sales Agreement.
On September 24, 2024, the Company acquired Metabolomic Diagnostics, a commercial-stage biotechnology company focused on human diagnostics and diabetes management solutions, including wearable biosensors, located in Ireland. The deal values Metabolomic Diagnostics with an enterprise value of approximately $1.3 million with the consideration consisting of just over 270,000 Trinity Biotech plc’s ADS with the balance of consideration being in cash and the assumption of liabilities.
| 18. | AUTHORISATION FOR ISSUE |
These Group consolidated condensed interim financial statements were authorised for issue by the Board of Directors on September 30, 2024.
F - 24
mExhibit 99.2
MANAGEMENT’S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS, LIQUIDITY AND CASH FLOWS
Interim Results of Operations
Six months ended June 30, 2024 compared to six months ended June 30, 2023
Total revenues for H1, 2024 were US$30.5 million, which compares to US$28.7 million in H1, 2023, an increase of US$1.7 million (6.3%), which is broken down as follows:
|
|
2024 H1
|
2023 H1
|
Increase/ (Decrease)
|
|
|
US$'000
|
US$'000
|
%
|
|
Clinical Laboratory Goods
|
20,397
|
21,367
|
(4.5)%
|
|
Clinical Laboratory Services
|
2,582
|
3,114
|
(17.1)%
|
|
Point-of-care Products
|
7,568
|
4,246
|
78.2%
|
|
Total
|
30,547
|
28,727
|
6.3%
|
Clinical laboratory product revenues decreased from US$21.4 million in H1 2023 to US$20.4 million in H1 2024, representing a decrease of 4.5%. This decrease was driven by lower
revenues from our instrument sales in the period. This decline in instrument sales is in line with expectations as we commercially reposition our instrument offering in line with our new improved diabetes column system which is now being rolled out.
Overall heamoglobin revenues were only slightly behind the comparative period (2.6%) as we experienced a strong performance from our consumable sales. There were declines in sales of our PCR VTM products versus the comparative prior period, down
38.4%, as focus continues to move away from ongoing COVID testing, in addition to declines in sales of autoimmune products in the period. There was a strong performance in the period from both our clinical chemistry and chronosystems portfolios which
grew 12.3% and 5.9% year-over-year respectively.
Clinical laboratory services revenues decreased from US$3.1 million in H1 2023 to US$2.6 million, a decrease of 17.1%. This decline relates to our New York reference laboratory
which offers laboratory-testing services for autoimmune disorders, such as Sjogren’s syndrome, hearing loss, celiac disease, lupus, rheumatoid arthritis and systemic sclerosis. The key factor driving the revenue decrease was the loss of our
transplant testing service contract with a local Healthcare provider which ended in Q1 2023.
Point-of-care revenues increased from US$4.2 million for H1 2023 to US$7.6 million in H1 2024, an increase of 78.2%. This increase was attributable to sales of our HIV screening
test, TrinScreen HIV, which began commercial shipments in December 2023. Sales of TrinScreen for H1 2024, were US$4.3 million, full year FY24 revenue for Trinscreen is expected to be in the region of US$10 million. Revenues from our HIV confirmatory
test, Uni-Gold were lower in the period as a result of irregular ordering patterns that characterise the HIV testing market in Africa.
Gross profit for H1 2024 amounted to US$11.3 million, representing a gross margin of 36.8%, broadly in line with H1 2023 (36.9%). Although we had improved margin performance in
haemoglobins in the period, this was offset by the margin impact of the higher TrinScreen HIV revenues, which are currently achieving a lower-than-average gross margin. Higher TrinScreen revenues will continue to dilute our overall gross margin
percentage in the remaining quarters of 2024 given its lower price point when compared to our Uni-Gold HIV test. We expect TrinScreen HIV to contribute additional gross profit as 2024 progresses due to increased operational efficiency and the
expected transfer of assembly to a lower cost of manufacturing location towards the end of 2024.
Other operating income decreased from US$71 thousand in H1, 2023 to US$42 thousand in H1, 2024. The income relates to a transition services agreement with the acquirers of
Fitzgerald Industries.
Research and Development (R&D) expenses of US$2.1 million for H1 2024, were in line with H1 2023, excluding the impact of the newly established CGM entities, R&D expenses
decreased by US$0.1 million. Selling, General and Administrative (SG&A) expenses decreased by US$2.6 million to US$13.9 million when compared to H1, 2023, representing a decrease of 15.8%. The two main drivers of the decrease in SG&A costs
were: lower salary costs of US$1.3 million in H1 2024 versus the comparative period, driven by headcount optimisation activities and the disposal of Fitzgerald Industries (US$0.6 million), and lower share-based accounting charge of US$1.4 million in
H1 2024 on the back of headcount changes throughout the past year. On a like for like basis, excluding the impact of Fitzgerald Industries which was disposed of in April 2023 and the newly established CGM entities, SG&A decreased by US$2.5
million. The Company incurred additional SG&A restructuring costs of US$1.9 million in H1 2024 as part of the comprehensive restructuring plan to centralize and offshore corporate services and consolidate and relocate manufacturing operations.
An impairment charge of US$0.4 million was recorded in H1 2024, compared to an impairment charge of US$10.8 million in H1 2023. The impairment test performed as at June 30, 2024
identified that the value in use of some of our cash generating units was below the value of the carrying amount of their assets, other than inventories, accounts receivable, cash and cash equivalents and deferred tax assets as at June 30, 2024. We
have therefore recorded an impairment charge in relation to the asset additions (including lease assets) that had been recorded during 2024.
Operating loss for the H1, 2024 was US$7.1 million, compared to an operating loss of US$18.8 million in H1, 2023. The decreased loss was attributable to decreased impairment
charges, higher revenues at similar lower gross margins and decreased selling, general and administration expenses.
Financial expenses in H1 2024 were US$3.1 million compared to US$6.4 million in H1 2023, a decrease of US$3.3 million. The financial expense for the current and comparative period
are summarized in the table below:
|
H1 2024
|
H1 2023
|
|
|
US$000
|
US$000
|
|
|
Term loan interest
|
5,61
|
4,596
|
|
Penalty for early settlement of term loan
|
-
|
905
|
|
Convertible note interest
|
576
|
540
|
|
Notional interest on lease liabilities for Right-of-use assets
|
297
|
324
|
|
Fair value movement for derivative balances related to term loan
|
918
|
9
|
|
Fair value movement on prepayment option
|
62
|
-
|
|
Accretion interest on deferred contingent consideration
|
24
|
-
|
|
Capitalization of borrowing costs
|
(824)
|
-
|
|
EIR Catch up adjustment
|
(3,566)
|
-
|
|
3,100
|
6,374
|
The loss before tax from continuing operations for H1 2024 was US$10.1 million, in comparison to a loss of US$24.9 million for the equivalent period in 2023.
In H1 2024, the total income tax credit was US$0.1 million, compared to an income tax credit of US$0.3 million in H1 2023.
The loss after tax from continuing operations for the first half of 2024 was US$10.1 million, or a loss of US$1.10 per ADS compared to a loss of US$24.7 million, or loss of US$3.22 per ADS in the
comparative period in 2023.
In H1 2023 the Company recognised a profit for the period from discontinued operations that totalled US$12.9 million, largely attributable to the gain of US$12.7 million on the
divesture of Fitzgerald Industries. The gain is comprised of proceeds of approximately US$30.0 million offset by transaction costs of US$1.3 million and the net assets eliminated on disposal of US$16.0 million.
The loss after tax for the first half of 2024 was US$10.1 million or a loss per ADS of US$1.10, compared to a loss of US$11.8 million or a loss per ADS of US$1.54 in the same period in 2023.
Liquidity and Capital Resources
The Group’s capital structure is a mixture of debt and equity. In the first half of 2024, the Group principally financed its operations from internal resources and the Term Loan.
Term Loan with Perceptive
In connection with the acquisition of the CGM assets of Waveform in January 2024, the Company entered into the Amended Term Loan with its main lender, Perceptive. Under the Amended
Term Loan, an additional $22 million of funding has been made available to the Company, with US$12.5 million being used to acquire the CGM assets of Waveform. The remaining US$9.5 million is available for general corporate purposes including for the
further development of the CGM and biosensor technologies. In addition, the Amended Term Loan provides for additional liquidity of up to US$6.5 million, that may be drawn down by the Company between April and December 2024, and can be used for
general corporate purposes. In April 2024 the Company drew down the additional funding of US$6.5 million as prescribed in the Amended Term Loan agreement. This funding will be used for general corporate purposes, including the further development of
our CGM offering.
The Amended Term Loan also immediately reduced the annual rate of interest on the loan by 2.5% to 8.75% (the “Base Rate”) plus the greater of (a) Term Secured Overnight Financing
Rate (SOFR) or (b) 4.0% per annum and allows for a further 2.5% reduction in the Base Rate to 6.25% once the outstanding principal under the Amended Term Loan falls below US$35 million. Additionally, the Amended Term Loan reduced the early repayment
penalty from a range of 8% to 7% to 4.0% to 3.5%, dependent on timing of early repayment, and also reduced the revenue covenants. The Amended Term Loan matures in January 2026.
In addition, in connection with the Amended Term Loan, Perceptive received new warrants to purchase an additional 10,000,000 ‘A’ ordinary shares (500,000 ADSs) and the Company
agreed to price these additional warrants and reprice the existing warrants to purchase 10,000,000 ‘A’ ordinary shares (500,000 ADSs) that were issued to Perceptive under the original term loan, with an exercise price of US$0.11 per ‘A’ ordinary
share (US$2.20 per ADS), subject to adjustment.
Cash and cash equivalents
At June 30, 2024, the cash and cash equivalents balance was US$5.3 million. In the future, the amount of cash generated from operations will depend on a number of factors which
include the following:
| • |
The ability of the Group to continue to generate revenue growth from its existing product lines and from new products following the successful completion of its development projects;
|
| • |
The extent to which capital expenditure is incurred on additional property plant and equipment;
|
| • |
The level of investment required to undertake both new and existing development projects; and
|
• Successful working capital management in the context of an expected growing business.
Liquidity
The directors have considered the Group’s current financial position and cash flow projections, taking into account all known events and developments The directors believe that the Group will be able
to continue its operations for at least the next 12 months from the date of this report and that it is appropriate to continue to prepare the consolidated financial statements on a going concern basis.
The directors have considered the various financing options expected to be available to the Group to assist it in meeting its obligations over the next 12 months, to the extent such obligations cannot
be met from cash on hand, including refinancing the debt, repaying the debt with the proceeds from equity or debt offerings and the sale of assets.
As with all such potential transactions, there are risks to successfully implement such transactions and the directors have considered these risks when considering the financing options and the
appropriateness of adopting a going concern basis of accounting.
Cash Flows
As at June 30, 2024, our consolidated cash and cash equivalents were US$5.3 million. Our cash and cash equivalents consist primarily of cash in bank accounts and short-term
deposits. The following table presents the major components of net cash flows used in and provided by operating, investing and financing activities.
|
Six months ended June 30,
|
||||||||
|
|
|
2024
US$‘000
|
|
2023
US$‘000
|
||||
|
Net cash (outflow) from operating activities
|
(3,918
|
)
|
(7,135
|
)
|
||||
|
Net cash inflow/(outflow) from investing activities
|
(17,130
|
)
|
26,533
|
|||||
|
Net cash (outflow) from financing activities
|
22,762
|
(11,848
|
)
|
|||||
|
Effects of exchange rate movements on cash held
|
(87
|
)
|
100
|
|||||
|
|
||||||||
|
Net increase/(decrease) in cash and cash equivalents and short-term investments
|
(1,626
|
)
|
7,650
|
|||||
Operating Activities
Net cash used by operating activities for the six months ended June 30, 2024 amounted to US$3.9 million (six months ended June 30, 2023 net cash used by operating activities:
US$7.1 million), a decrease of US$3.2 million. The decrease in net cash generated from operating activities of US$3.2 million is attributable to a decrease in operating cash flows before changes in working capital of US$0.2 million and a decrease in
working capital outflows of US$2.2 million (outflow of US$0.5 million in H1 2024, compared to an outflow of US$2.7 million in H1 2023), in addition to taxes received of US$1.2 million compared to an income tax payment of US$26 thousand for the
comparative period in 2023.
Investing Activities
Net cash outflow from investing activities for the six months ended June 30, 2024 amounted to US$17.1 million (six months ended June 30, 2023: inflow US$26.5 million) which was
principally made up as follows:
| • |
Payments to acquire intangible assets of US$4.5 million (six months ended June 30, 2023: US $0.8 million), which principally related to development expenditure capitalised as part of the Group’s on-going CGM product development activities;
and
|
| • |
Payments to acquire business assets of US$12.5 million, which relates to payments to acquire the biosensor and CGM assets of Waveform. This compared to net proceeds from the sale of Fitzgerald Industries of US$28.4 million in the six
months ended June 30, 2023.
|
Financing Activities
Net cash inflows from financing activities for the six months ended June 30, 2024 amounted to US$22.8 million (six months ended June 30, 2023: outflows of US$11.8 million). This
inflow primarily related to net proceeds from the amended and restated senior secured term loan credit agreement of US$28.2 million, which was used to acquire the Waveform assets and for general corporate purposes including for the further
development of the CGM and biosensor technologies. This was offset by interest paid on the secured term loan of US$3.8 million and the repayment of lease liabilities of US$1.2 million.
In the six months ended June 30, 2023, the outflow of US$11.8 million was due to the partial early settlement of the Term Loan which included a penalty of US$0.9 million, payments
for lease liabilities of US$1.2 million, interest payment of US$4.4 million, partly offset by draw down of US$5.0 million on the Term Loan.