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LONDON, UK / ACCESSWIRE / August 13, 2024 / Physitrack (STO:PTRK) Despite financial headwinds, the Group has successfully driven significant innovation across both divisions, leveraging cutting-edge technology to enhance the user experience and accelerating the teams' ability to advance our industry leadership.

Second quarter: 1st April - 30th June 2024

• Revenue increased by 5 per cent against a strong comparator to generate total sales of EUR 4.0m (EUR 3.8m). This growth was achieved in the Lifecare division (10 per cent) but was offset by a contraction within the Wellness division (2 per cent).

• Subscription revenue increased 21 per cent (€0.6m) to €3.2m and now makes up 82 per cent of total group revenue, a significant increase from the prior year's comparative of 71 per cent.

• Adjusted EBITDA of EUR 0.9m (EUR 1.0m) was generated resulting in an Adjusted EBITDA margin of 23 per cent (25 per cent).

• Adjusted operating loss of EUR 0.3m (profit EUR 0.1m) was generated resulting in a margin of -7 per cent (1 per cent).

• Adjusted ordinary and diluted profit per share totalled EUR (0.02) (EUR 0.00).

• Cashflow generated from operations before the payment of adjusting items equalled EUR 0.4m (EUR 0.5m).

• Free cash flow for the quarter was a net outflow of EUR 0.8m (outflow EUR 0.6m).

First Half: - 1st January - 30th June 2024

• Revenue increased by 8 per cent against a strong comparator to generate total sales of EUR 8.1m (EUR 7.5m). This growth was achieved in both the Lifecare (10 per cent) and Wellness (5 per cent) divisions.

• Subscription revenue increased 23 per cent (€1.2m) to €6.5m and now makes up 81 per cent of total group revenue, a significant increase from the prior year's comparative of 71 per cent.

• Adjusted EBITDA of EUR 1.9m (EUR 1.9m) was generated resulting in an Adjusted EBITDA margin of 24 per cent (25 per cent).

• Adjusted operating loss of EUR 0.2m (profit EUR 0.2m) was generated resulting in a margin of -2 per cent (2 per cent).

• Adjusted ordinary and diluted profit per share totalled EUR (0.02) (EUR 0.01).

• Cashflow generated from operations before the payment of adjusting items equalled EUR 1.5m (EUR 1.2m).

• Free cash flow for H1 2024 was a net outflow of EUR 0.7m (outflow EUR 1.0m).

Key highlights during and subsequent to the second quarter

• We continue to build on the rapid success of the technological enhancements across the Group, underpinned by AI, that was seen over the last two quarters. Key developments include the new mobile app Physitrack Assistant and the Easy Assign feature, the former leveraging on our AI Co-pilot making clinical workflows more efficient.

• Within the Wellness division we have rolled out Champion Health 3.0, and within Champion Health Plus we have launched Nexa, an AI-driven self-service MSK tool that will enhance revenue from notably existing insurance customers.

• We continue to focus on growing our recurring revenue and setting us up for long-term sustainable growth. Q2 recurring revenue was in-line with prior quarter, representing 82 per cent of total revenue, up from 80 percent in Q1 2024.

• We continue to strive to elevate the World's Wellbeing, with our continuing partnership with Business Finland during the quarter allowing us to expand our remote accessibility program, Project Inclusion, into both Kenya and Uganda.