• Step-change in financials; accelerating volume growth is now the key priority
• Margins, earnings and cashflow strongly improved
• Key milestones achieved in Pain Management and Respiratory

Medical Developments International Ltd reported a strong FY25 performance with group revenue up 18% to $39.1m. The company saw margin improvements of $4m from enhanced pricing and significant operating cost reductions of $4m driven by efficiencies. Underlying EBIT improved by $11.6m and free cash flow improved by $12.9m. The company achieved key strategic milestones including 43% growth in Penthrox volumes in the Australian hospital segment, 15% growth in underlying Penthrox demand in Europe, completion of Penthrox distribution transfers in France and Switzerland, and approval of the paediatric indication for Penthrox in Europe. In Respiratory, the company continued to grow share in the attractive US market. Going forward, the company is focused on accelerating Penthrox volume growth by increasing investment in growth initiatives, supporting partners to increase Penthrox penetration, and continuing the commercialisation momentum in Australia. This investment is expected to result in softer underlying EBIT in FY26 but deliver stronger long-term financial performance.

The investment in growth initiatives and the change in Penthrox distribution in France and Switzerland will likely result in softer Underlying EBIT in FY26 versus the prior year. These initiatives are expected to deliver stronger financial performance over the long-term.

Accelerating volume growth is now the key priority. The company plans to increase investment in growth initiatives to embed Penthrox as a standard of care, continue to engage with and support new and existing partners to increase Penthrox penetration and leverage the new paediatric label in select markets, and continue the momentum in commercialising Penthrox in Australia.