CEO comments

Tough quarter with gleam of light in Asia

Sales in the period amounted to SEK 13.3 million (21.7). Previously communicated organizational changes in the subsidiary in the USA during second quarter had a negative impact also on the third quarter. A new subsidiary manager and two salespeople have been recruited in North America for some time now. The new organization has now been operating for a few months and the expectation is that improvements will take place gradually from the fourth quarter of this year. In other regions, the picture is significantly more positive, the growth in Japan and South Korea, for example. After the first nine months of the year, they are performing in line with expectations. The weak sales in North America are the reason why the operating profit amounted to SEK -5.3 million (4.5). We have had good cost discipline for several years, which also applies to 2024. So far, the costs are on par with 2023.

Increased pace in the implementation of the product plan

All regions have the potential to perform better based on the existing product portfolio. However, we continue to work at a high pace regarding the implementation of the product plan. To a large extent, we will address the same customer groups, that is, the sales synergies are large. The fact that we have now launched SyMRI in 3D makes a technical contribution in this context. SyMRI in 3D enables precise volumetric estimates of brain regions, a technique commonly referred to as parcellation. It gives clinicians the opportunity to gain deeper insights into the structure and function of the brain. In addition, the exceptional resolution of SyMRI in 3D facilitates comprehensive lesion analysis, ensuring a more accurate and in-depth assessment of medical conditions. Access to parcellation and lesion analysis will enable physicians to make even better, more informed decisions using quantitative imaging in dementias such as Alzheimer's disease, multiple sclerosis, and various pediatric conditions, among others. The clinical value increases and the pricing is increased in relation to it. Furthermore, SyMRI in 3D technically also provides opportunities for development in other areas, for example applications for examinations of the liver and spine.

Back to growth

We have the organizational and market conditions to get back to growth. The strengths of the solutions we offer the market and the organization we have at our disposal give reason for optimism. The positive response in the market and the use of SyMRI in healthcare is clearly growing in scope. The launch of SyMRI in 3D continues undiminished and just in recent months we have received approval for clinical use in major markets such as the UK and Australia. I am satisfied with the results from our investments in research and development. We will together with our partners increase marketing activities and accompanying sales. We continuously improve the conditions for continuing to establish SyMRI as a standard in healthcare. I look forward with great confidence.

Ulrik Harrysson

CEO, SyntheticMR AB (publ)

This is a translation of the Swedish version of the report. When in doubt, the Swedish wording prevails.


 

This disclosure contains information that SyntheticMR AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 18-11-2024 08:14 CET.

For additional information, please contact Ulrik Harrysson, CEO, SyntheticMR AB, +46 70 529 29 87 ulrik.harrysson@syntheticmr.com or Johanna Norén, CFO and Head of Investor Relations, SyntheticMR AB, +46 70 619 21 00 johanna.noren@syntheticmr.com.

SyntheticMR AB develops and markets innovative software solutions for Magnetic Resonance Imaging (MRI). SyntheticMR AB has developed SyMRI^®, delivering multiple, adjustable contrast images and quantitative data from a single 5-minute scan. The SyMRI product is available in different packages. SyMRI NEURO delivers multiple contrast images, tissue segmentations and quantitative data on the brain. SyMRI MSK provides multiple contrast images and quantitative data for knee and spine anatomies. SyMRI NEURO is CE-marked and FDA 510(k) cleared and SyMRI MSK is CE-marked. SyMRI is a registered trademark in Europe and the USA. SyntheticMR is listed on the Spotlight Stock Market Exchange in Stockholm, Sweden. For more information, visit www.syntheticmr.com.