• Hydrix Services recorded consecutive profitable quarters
• Project sales growth from international clients and cardiac monitoring products are key profit drivers
• Hydrix Ventures portfolio company Gyder Surgical received FDA 510(k) clearance

Hydrix Limited (ASX: HYD) has released its Appendix 4D for the first half ended 31 December 2024 (1HFY25) and provided a market update. Hydrix Services ('Services') recorded consecutive profitable quarters, helped by stronger margins, billable utilisation and lower operating costs, which reduced the group's cash used in operations. Project sales growth from international clients and sales of cardiac monitoring products remain catalysts for driving Group profit. The company's Services segment achieved $7.4 million in contract sales orders, a 37% improvement on the prior corresponding period, and has $40 million in potential future project revenues from 15 active clients. The Group's cash operating loss was significantly improved to $0.39 million, compared to $2.09 million in the prior corresponding period. Hydrix Ventures also recorded a $0.36 million valuation increase of its investment in portfolio company Gyder Surgical after the company received FDA 510(k) clearance for its Hip Navigation System. The company's Executive Chairman, Gavin Coote, commented that recent sales victories in international markets and a streamlined cost base have led to a substantial improvement in operating results compared to the prior year.

Hydrix anticipates substantial sales momentum and revenue increases throughout the upcoming year, driven by growth in its Services revenue.

Hydrix sees strong sales opportunities and a healthy sales pipeline, with about $40 million in potential future project revenues from 15 active clients. The company is also optimistic about the potential for its medical device distribution business, including software-as-a-service remote cardiac patient monitoring products and ambulatory ECG wearable patch devices.