The producer of radiopharmaceuticals and advanced medical solutions grew its revenue by 55% to PLN 483 million in the first nine months of the 2023 financial year (October 2023 – June 2024). The Synektik Group’s normalized EBITDA climbed 69% to PLN 111 million in this period while its total income was PLN 63.6 million versus PLN 36.6 million in the first nine months of the 2022 financial year.
The Synektik Group closed Q3 2023 with 22% growth in revenue, which came in at PLN 124 million, 30% growth in normalized EBITDA (PLN 32.4 million in the past quarter) and 24% growth in net profit, which grew to PLN 16.7 million.
Both of the Group’s business segments can boast dynamic revenue growth and rising profits in the past quarter. The revenue in the segment covering the supply of medical devices and IT solutions and maintenance and metering services moved upwards in Q3 2023 by 21% to PLN 114.2 million while the segment’s normalized EBITDA grew by 28% to PLN 31.7 million. In the first nine months of the year the segment’s revenue totaled PLN 450.6 million (58% growth yoy), while normalized EBITDA shot up by 67% to PLN 108.3 million.
The radiopharmaceuticals segment closed the past quarter by posting 21% sales growth to PLN 9.8 million (net of intragroup transactions). The segment’s EBITDA rose by 9% to PLN 3.4 million. During the first nine months of the year the segment’s revenue climbed 22% to PLN 32.3 million and EBITDA grew 52% to nearly PLN 12 million, while the EBITDA profitability metric climbed to 37%.
The Group’s growth in revenue and profit stemmed from the higher revenue generated by the performance of one-off contracts for the supply of medical devices and the radiopharmaceuticals assortment and the steadily growing recurring revenue generated by both segments associated with the supply of products and services as part of long-term contracts. The Group’s recurring revenue in Q3 jumped up by 54% to PLN 56 million, and over the most recent four quarters it topped PLN 200 million versus PLN 125.6 million a year ago and PLN 63.1 million two years ago.
The sales of instruments and accessories and services for the therapeutic devices used in Poland, the Czech Republic and Slovakia are responsible for a material portion of the Group’s recurring revenue. This growth is driven by the dynamic development of robotic surgery in these three countries. In the last quarter Poland performed 3.3 thousand surgical procedures with the assistance of da Vinci (106% growth yoy), while the Czech Republic and Slovakia performed nearly 2.7 thousand procedures in this period, up nearly 40% from last year.
“We have completed another quarter that involved an equal amount of hard work and business success, leading to dynamic growth in the magnitude of the Group’s business. In parallel, we are pursuing our plans to popularize the products we currently offer to our clients, and we are investing in expanding our offer to include new and innovative solutions. I am confident that as we continue to work subsequent quarters will deliver many reasons for the shareholders of Synektik SA to be satisfied with their investment. We have the potential to grow the Group’s income consistently by continuing to follow the path of technological revolution in health care in Central Europe”, remarks Cezary Kozanecki, Founder and President of the Management Board of Synektik.
One of the Group’s key areas to expand its business in subsequent years will continue to be the commercialization of advanced therapeutical medical devices with robotic systems at the forefront. In the last quarter the Group entered into a cooperation agreement with Medical Microinstruments, a producer of innovative robotic systems for microsurgery, whereby it became the sole distributor of Symani robotic systems for microsurgery and super microsurgery in Poland, the Czech Republic, Slovakia, Lithuania, Latvia and Estonia. In turn, one week ago the Synektik Group and Intuitive entered into an annex to their distribution agreement whereby the Group will be the sole distributor of da Vinci systems in Poland, the Czech Republic and Slovakia until at least the end of 2029.
„We are making bold bets on the business of promulgating technological progress in the field of medicine in the countries in this region. We are developing and sourcing high technology products to sell with a high level of therapeutic and diagnostic efficacy that make a beneficial contribution to the overall costs of treating patients. In our opinion, surgical robotics and, more broadly, medicine will be one of the pillars of progress in health care in upcoming years. Entering into long-term agreements with the producers of leading solutions in this field will enable us to execute our long-term growth strategy in this area while strengthening the awareness of clients and patients – when it comes to the advantages of the solutions we offer”, adds Cezary Kozanecki.
