LiDCO Group plc : Trading update and notice of results

LiDCO Group Plc

("LiDCO" or the "Company")

Trading update and notice of results

LiDCO Group Plc (AIM: LID), the cardiovascular monitoring company, provides the following trading update for the year ended 31 January 2014.

The strong performance reported in the interims results has continued, with revenues for the year up 20% to £8.63m (2013: £7.21m), slightly ahead of market expectations. The Company expects pre-tax profits to be in line with market expectations, compared to a loss of £0.26m in the previous year.

The Company was significantly cash generative during the year and net cash increased to £2.37m (2013: £2.06m) despite debt repayments of £180k made during the year. The remaining long term borrowings are £175,000.

LiDCO product sales (excluding third party products) were up 25% to £6.86m (2013: £5.49m). Sales in the Company's home UK market (excluding third party products) were up 37% to £4.40m (2013: £3.20m). 120 surgical monitors were installed in the UK compared with 77 last year, taking the total number of installed LiDCOrapid monitors in the UK to 350. UK sales of our surgical disposables grew by 59% to 23,570 units (2013: 14,855 units). The growth in UK sales reflects the increasing adoption of intraoperative fluid management technology in England by the NHS in line with NHS guidance.

Commenting, Terry O'Brien, Chief Executive Officer of LiDCO, said:

"We are very pleased with the performance of the business through the last year, which has seen the business both move into profitability and demonstrate good cash generation.

"We have been encouraged by the accelerated adoption of intraoperative fluid management technology across the NHS in England, where adoption and use has helped hospital trusts to achieve CQUIN funding requirements. It is particularly key to see a significant uplift in sales of our surgical disposables in the UK, which means that more and more NHS patients are experiencing the benefits of better fluid management.

"During the year we also launched the LiDCOrapid with Unity software in Europe and the USA. We are very excited about the impact this can make on the wider adoption of hemodynamic monitoring. This integrated multi modal monitor which incorporates both invasive and non-invasive use addresses a potential worldwide market opportunity of $2bn in high margin recurring income."

The Company will announce its preliminary results for the year ended 31 January 2014 on 29 April 2014.

For further information, please contact:

About LiDCO Group Plc (www.lidco.com)

LiDCO is a supplier of non-invasive and minimally invasive hemodynamic equipment to hospitals used to monitor the amount of blood flowing around the body and ensure that vital organs are adequately oxygenated. LiDCO's products facilitate the application of hemodynamic optimisation protocols for high risk patients in both critical care units and in the operating theatre.

Increasingly clinical studies are showing that the optimisation of patients' hemodynamic status in high risk patients produces better outcomes and reduced hospital stay.  LiDCO's computer-based technology, developed at St Thomas' Hospital in London, has been shown to significantly reduce morbidity and complications, length of stay and overall costs associated with major surgery.

Key Products:

LiDCOplus : a computer-based platform monitor used in the Intensive Care Unit for real-time continuous display of hemodynamic parameters including cardiac output, oxygen delivery and fluid-volume responsiveness (PPV% and SVV%).

LiDCOrapid : a cardiac output monitor designed specifically for use in the operating theatre for fluid and drug management. The monitor enables anaesthetists to receive accurate and immediate feedback on the patient's fluid and hemodynamic status - a key measure of overall well-being before, during and after surgery.  The LiDCOrapid provides:

·    early and rapid warning of hemodynamic change to aid choice of therapeutic route: fluid or drug

·    quantification of hemodynamic response

·    guidance on effective delivery of fluids to ensure the right amount at the right time

LiDCOview : an easy-to-use graphical display of historical LiDCOplus and LiDCOrapid hemodynamic data.

LiDCO Unity Software: software incorporated into LiDCOrapid v2 that allows the LiDCOrapid monitor to co-display Covidien's level of consciousness parameter ('BISTM')*and add the convenience of CNSystem's continuous non-invasive blood pressure monitoring ('CNAP')**. This will address a growing requirement for non-invasive monitoring solutions that are more comprehensive and can effectively replace multiple single parameter monitors.

*BIS TM and Bispectral Index are trademarks of Covidien LP registered in the US and foreign countries.

**CNAPTM is a trademark of CNSystems Medizintechnik AG.

LiDCO monitors use single-patient disposables (sensors or smartcards) which provide an ongoing revenue stream. 

LiDCO Distribution Network :

LiDCO sells directly to hospitals in the UK and USA and through a network of specialty critical care and anaesthesia distributors in the rest of the world.

LiDCO's marketing office is in Cambridge, its manufacturing facility and headquarters are in London and its shares are traded on AIM.