Observe Medical (OBSRV) Q2 2025 earnings summary

Executive summary

• Major shipments of UnoMeter Safeti Plus reached distributors in Europe, Middle East, and Asia, confirming strong market acceptance and repeat orders.

• Debt restructuring negotiations led to significant reductions and revised payment terms, improving financial stability.

• A private placement post-period raised NOK 36.4 million, with the main manufacturer becoming a significant shareholder.

• Full ownership of all UnoMeter rights secured, and focus is on regaining historical market position and launching new products.

Financial highlights

• Operating revenue for H1 2025 was NOK 11.3 million, down 5% year-over-year due to discontinuation of the Nordic business.

• UnoMeter portfolio sales grew 61% year-over-year, driven by Safeti Plus introduction.

• Gross profit was NOK 3.0 million (gross margin 26.1%), down from NOK 3.9 million (32.7%) last year, mainly due to product mix and higher freight costs.

• Adjusted EBITDA improved to negative NOK 8.7 million from negative NOK 12.6 million year-over-year.

• Net result for the period was negative NOK 19.0 million, an improvement from negative NOK 25.5 million last year.

• Basic and diluted EPS were negative NOK 0.99, compared to negative NOK 0.13 in H1 2024.

Outlook and guidance

• Plans to regain UnoMeter’s historical market share and expand distribution in over 35 countries.

• Launch of UnoMeter Safeti Max and UnoMeter Sippi expected within 12 months.

• Long-term ambition to become a leading global medtech company, focusing on portfolio expansion and collaboration with Nordic medtech startups.