Trinity Biotech (TRIB) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenues reached $15.8 million, up 14% year-over-year, driven by strong TrinScreen HIV demand and Point of Care revenues more than doubling.

• Operating loss narrowed to $4.1 million from $14.9 million year-over-year, with net loss from continuing operations at $6.8 million, a significant improvement from $18.3 million in Q2 2023.

• Comprehensive transformation plan is delivering results, including cost reductions, manufacturing optimization, and supply chain improvements.

• Progressing long-term growth strategy in wearable biosensors, especially CGM, with two prototypes developed and pre-pivotal clinical trials underway.

• Operating loss (before restructuring and impairment) improved to $1.7 million, a 59% year-over-year improvement.

Financial highlights

• Q2 2024 revenues: $15.8 million, up 14% year-over-year; gross profit: $5.7 million; gross margin steady at 36.2%.

• Point of Care revenues: $4.6 million, up 119% year-over-year, with TrinScreen HIV contributing $3.1 million.

• Clinical laboratory revenues: $11.3 million, down 4.6% year-over-year; clinical chemistry portfolio grew over 20% year-over-year.

• Adjusted EBITDA/EBITDASO loss: $1.4 million, compared to $2.6 million loss in Q2 2023.

• Basic loss per ADS: $0.71, improved from $0.78 in Q2 2023.

Outlook and guidance

• On track to achieve annualized run-rate revenues of $75 million and $20 million EBITDA/EBITDASO by Q2 2025.

• TrinScreen HIV expected to reach $8 million in revenue for 2024, with potential upside.

• Clinical laboratory business expected to return to growth by Q4 2024, driven by clinical chemistry price increases and new column system rollout.

• CGM pivotal clinical trials targeted for summer 2025, with EU regulatory approval by end of 2025.

• TrinScreen HIV gross margins anticipated to improve as production efficiency increases and manufacturing is offshored by year-end.