• Revenue up 33% to $20.0 million
• Strongly improved margins and lower costs
• Net profit after tax of $0.3 million

Medical Developments International Ltd reported a strong financial performance for the FY25 half-year period, with revenue up 33% to $20.0 million and net profit after tax of $0.3 million, a significant improvement from the previous corresponding period. The Pain Management segment saw revenue increase by 37%, driven by volume growth and improved pricing, particularly in Australia, the UK, and Ireland. The Respiratory segment also performed well, with revenue up 26% due to strong volume growth in the US and improved demand conditions in Australia. The company reported strongly improved margins and lower costs, driven by the benefits of improved pricing and operational efficiencies. Underlying EBIT was $0.2 million, an $8.0 million improvement on the previous corresponding period. The company made encouraging progress in its strategy to grow Penthrox in Australian hospital emergency departments, with demand in the hospital segment up 52% on the previous corresponding period. Penthrox also continued to see growth in Europe, with in-market volumes up 22%. The company also reported pleasing progress in growing its market share in the US Respiratory market, with revenue up 23%.

The Group expects underlying EBIT for the full year to be strongly improved on FY24, driven mainly by benefits of $8 million from higher average Penthrox prices and operational efficiencies.

Phasing and movements in foreign exchange rates are expected to result in earnings that are lower in the second half of FY25 compared to the first half. Notwithstanding, the Group remains on track to generate positive operating cashflow for the second half of FY25.