Coala Life issues corrections to Coala Life's Quarterly Report Two 2023 published on August 11 and to the press release "Coala-Life Group AB quarter two 2023" with the same publication date. Gross profit and subsequent profit measures, SEK 1.4 million better after correction.
The quarterly report contained incorrect information regarding the Group's costs and thus also the Group's earnings. The company reported too high costs in change inventories in the second quarter of SEK 1.4 million that should have been handled as an internal transaction and should have been eliminated in the consolidation of the company's figures. This resulted in higher costs and lower earnings for the company. Change in inventories amounted to SEK -4.2 million before correction and after correction to SEK -2.8 million. All profit measures in the income statement improved by SEK 1.4 million, as the following corrected press release.
The company has corrected the information and published a new version of the quarterly report https://investors.coalalife.com/en/investor-relations/financial-reports-and-presentations/ .
Corrected press release can be found below.
Second quarter 2023
- Net sales increased to SEK 14.1 M (1.6).
- EBITDA amounted to SEK -28.4 M (-40.7).
- Operating income totaled SEK -30.9 M (-41.4).
- Profit after tax was SEK -27.8 M (-38.5).
- Earnings per share was SEK -0.1 (-0.6).
- Cash flow from operating activities was SEK -27.3 M (-50.9).
The period, January 1, 2023 – June 30, 2023
- Net sales increased to SEK 25.7 M (2.4).
- EBITDA amounted to SEK -60.6 M (-71.6).
- Operating income totaled SEK -64.8 M (-73.4).
- Profit after tax was SEK -62.9 M (-70.1).
- Earnings per share was SEK -0.3 (-1.3).
- Cash flow from operating activities was SEK -58.7 M (-86.4).
Events in the quarter
- On June 9, the company announced that it had signed an agreement for financing of trade receivables in the US for up to USD 4 million.
- On May 26, it was announced that the company was one of three partners selected to participate in a pilot project as part of a digital venture in remote patient monitoring being conducted by Region Stockholm.
Events after the end of the quarter
- On August 2, the company announced that Emma Strömfeldt had resigned as a Board member of Coala Life Group AB (publ).
- On July 11, the company issued a notice to attend an Extraordinary General Meeting on July 31 for a resolution on a directed new share issue for some of the company’s largest owners. The directed new share issue was approved at the Extraordinary General Meeting, which will raise SEK 17 M for the company, less transaction costs.
Extract from comments from the CEO, Dan Pitulia
Coala Life's main focus is the US market with over 120 million Americans affected by chronic cardiovascular diseases. To qualify as a patient for Remote Patient Monitoring (RPM), you must have an acute or chronic illness, something almost half the U.S. population has. Coala Life offers a full-service service – Managed RPM – for remote monitoring of chronically ill patients in a home environment. It provides patients and healthcare with solutions for non-invasive and patient-centered predictive decision support that, with the help of algorithms, creates the conditions to be able to predict heart and lung diseases and thus help to avoid disease progression. Our strategic goal is to radically improve the quality of life and clinical outcomes for the millions of patients affected by chronic or acute cardiovascular and other diseases.
The US RPM market is a market in strong growth and according to a recently published report from the global healthcare consulting firm Medi-Tech Insight, the US market for remote patient monitoring (RPM) will grow at a faster pace than previously expected. It is projected to reach over $18 billion by 2026 with an annual growth rate of 25%. The report supports our strategy in the US RPM market and is in line with our own analysis based on the interest we meet from US clinics.
Comments from our CEO can be read in full in the interim report.
The interim report is available on the company´s website:
Coala-Life Group AB (“Coala Life” or the “Company”) founded in 2015, is a Cloud Based Software as a Service provider, and medical device developer and reseller, listed on Nasdaq First North Growth Market. The Company focuses on B2B solutions for managed Remote Patient Monitoring (“RPM”), offering medical care providers, primarily in the US, with a highly scalable, cost-efficient platform to remotely and virtually manage large volumes of patients suffering from chronic diseases. The company offers care providers a comprehensive solution and lifts the administrative work from the care providers regarding, amongst other things, follow-up, 24/7 monitoring, as well as the reimbursement process from state and private health insurance companies. Patients are monitored long-term in everyday life and typically have diabetes, obesity, and/or cardiovascular disease.
For more information see www.coalalife.com
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The company's Certified Adviser is Erik Penser Bank AB.