Devyser Diagnostics AB publishes year-end report for January to December 2023

“Devyser is able to report strong sales growth and record high gross margins for the fourth quarter. During the quarter, Devyser continued to demonstrate the competitiveness of its products by winning several contracts. Wec saw significant development in the US, where we achieved an important milestone after the end of the quarter with the first commercial contract for Devyser Genomic Laboratories, our CLIA-certified laboratory. After the quarter, we also signed an agreement with Illumina Inc, the global leader in instrument manufacturing. 

The positive trend seen for the first three quarters continued in the fourth quarter. If we look back at the full-year 2023, we would summarize it as a year of strong growth during which we established ourselves in several new markets and strengthened our presence in existing markets. Thanks to increased volumes and higher prices we were able to further bolster our gross margins. 

Overall, 2023 was a very eventful year and our most successful year yet for the company. During the year, 400,000 people worldwide were diagnosed using our products.” Fredrik Alpsten, CEO, Devyser

The quarter from October to December 2023

• Net sales amounted to SEK 45.4 million (34.2), corresponding to a 32.7 percent increase.
• Adjusted for exchange rate fluctuations, net sales increased by 27.5 percent.
• Gross profit totaled SEK 40.0 million (27.2), corresponding to a gross margin of 88.1 percent (79.5).
• Operating profit (EBIT) amounted to SEK -18.5 million (-25.9).
• Profit after tax totaled SEK -13.1 million (-16.7).
• Earnings per share before and after dilution amounted to SEK -0.80 (-1.04).
• Cash flow from operating activities stood at SEK -13.8 million (-13.4).

The period from January to December 2023

• Net sales amounted to SEK 169.3 million (126.6), corresponding to a 33.7 percent increase.
• Adjusted for exchange rate fluctuations, net sales increased by 24.9 percent.
• Gross profit totaled SEK 144.7 million (103.4), corresponding to a gross margin of 85.5 percent (81.7).
• Operating profit (EBIT) amounted to SEK -58.9 million (-52.0).
• Profit after tax totaled SEK -53.6 million (-46.0).
• Earnings per share before and after dilution amounted to SEK -3.31 (-2.89).
• Cash flow from operating activities stood at SEK -69.7 million (-40.5). 
  The Board is not proposing a dividend for 2023. 

Important events during the quarter

IVD development agreement with Illumina Inc. 
An IVD (in-vitro diagnostic) development agreement was signed with Illumina to enable regulatory registrations of Devyser’s NGS tests on MiSeqDx, Illumina’s FDA-regulated and CE-IVD-marked sequencing instrument. 
 
Cystic fibrosis contract won in Italy 
Devyser won another contract for CFTR genotyping tests in Italy. The contract with the University Hospital of Verona is for twelve months. The value of the order is estimated at approximately SEK 1.5 million. 
 
Devyser Genomic Laboratories signed its first commercial contract 
Devyser Genomic Laboratories, Devyser’s US-based CLIA-certified laboratory, signed its first commercial contract with UK-based diagnostics company Cyted. The contract’s term is initially two years, and revenues are estimated to total approximately SEK 25.0 million, of which up to around SEK 6.0 million in 2024. 
 
Devyser strengthened its management team 
The management team was expanded on February 1 with the edition of CSO Michael Uhlin, who has extensive experience in the global life sciences sector and has long been engaged in translational research and development. Devyser’s senior management now consists of CEO Fredrik Alpsten, CFO Sabina Berlin, CCO Theis Kipling, COO Göran Rydin, CSO Michael Uhlin, and CHRO Camilla Wiberg. 

Presentation 
The presentation will also be webcast and can be accessed from the following web address: https://ir.financialhearings.com/devyser-diagnostics-q4-report-2023
 
This report and previous financial reports are available on the company’s webpage https://investors.devyser.com/en/reports-presentations

For more information, please contact:

Fredrik Alpsten, CEO
E-mail: fredrik.alpsten@devyser.com
Tel: +46 706 673 106

Sabina Berlin, CFO
E-mail: sabina.berlin@devyser.com
Tel: +46 739 519 502

About Devyser Diagnostics AB (publ)

Devyser develops, manufactures and sells diagnostic solutions and analysis services to clinical laboratories in more than 50 countries. Our products are used for complex genetic testing in the hereditary disease, oncology and transplant fields, to enable targeted cancer treatment, the diagnosis of a large number of genetic diseases, and transplant patient follow-up. Devyser’s products, and unique, patented solution requiring only one test tube, simplify genetic testing processes, improve sample throughput, minimize hands-on time and deliver rapid results. Our goal is for every patient to receive a correct diagnosis in the shortest possible time. Sustainability is a central part of our business and an important prerequisite for long term value creation.

Devyser was founded in 2004 and is based in Stockholm, Sweden with eight in-house sales offices in Europe and the US. The company also runs Devyser Genomic Laboratories, a CLIA certified laboratory in Atlanta, US. In 2022, Devyser's quality management system was certified according to the IVDR and a number of the company’s products have since been certified according to the IVDR.

Devyser’s shares are listed on the Nasdaq First North Premier Growth Market Stockholm (ticker: DVYSR). The company’s Certified Adviser is Redeye AB.