Tristel (TSTL ), a global infection prevention company, has announced its audited results for the year ended 30 June 2024. The company reported record revenues, substantial profit growth, and strong cash generation, all exceeding market expectations.

Key financial highlights:

  • Revenue: £41.9 million, up 16% from £36.0 million in 2023.
  • Adjusted pre-tax profit: £8.2 million, a 32% increase from £6.2 million in 2023.
  • Reported pre-tax profit: £7.1 million, up 39% from £5.1 million.
  • Gross margin: Increased to 80% from 78% in 2023.
  • Cash and short-term investments: £11.8 million, with strong operating cash flow of £10.9 million.
  • Dividend: Increased 29% to 13.52p per share.

Operational achievements include the first sales of its Tristel ULT disinfectant into the US ultrasound marketand product approvals in the US and Canada. The company remains debt-free and is well-positioned for continued growth.

 

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Tristel has delivered an impressive set of financial results, outperforming expectations and signalling the company’s continued strong position in the healthcare sector. With revenue growing by 16% to £41.9 million, and pre-tax profits soaring 38.5%, Tristel’s strategic focus on infection prevention products—particularly its proprietary chlorine dioxide-based disinfectants—has proven effective.

Key Drivers: Tristel’s core market, hospital-based infection prevention, remains robust, accounting for 87% of sales under its Tristel brand for medical device decontamination. The company's growth in the US, thanks to FDA clearance for Tristel ULT, represents a significant milestone, unlocking access to the world's largest healthcare market. This also strengthens its credibility in other regions that look to US regulatory approvals.

The company’s ability to maintain an 80% gross margin while growing revenue showcases excellent operational efficiency. Its commitment to product innovation and geographic expansion is evidenced by continued investment in R&D and regulatory approvals, especially for environmentally sustainable surface disinfectants under the Cache brand.

The FDA approval for Tristel ULT opens the door for substantial growth in North America, and the company is positioned to capture further market share in other international markets, including Canada and Europe, where additional product approvals have been secured. The focus on sustainable surface disinfection products, such as Cache, aligns well with the increasing global emphasis on environmental responsibility.

Tristel’s financial strength, with a solid cash position of £11.8 million and no debt, provides flexibility for further expansion and shareholder returns. The board’s decision to raise the dividend by 29% to 13.52p reflects confidence in future earnings growth.

Tristel is capitalising on global healthcare demand for infection control, with substantial growth prospects ahead, particularly in the North American market. With strong financials and a clear growth strategy, Tristel remains a compelling investment opportunity in the healthcare sector.