Deltex Medical Group PLC on Tuesday posted a widened loss in the first half of 2022 but said it expects strong demand from customers aiming to replace legacy monitors in the near future.

Deltex Medical is a Chichester-based cardiac monitoring system maker.

Pretax loss in the six months to June 30 widened to £662,000 in the first half of 2022 from a loss of £531,000 the previous year.

Deltex explained the loss is due to higher investment in advertisement to generate increased international sales.

‘The slight increase in overheads to £1.5 million [from £1.4 million a year ago] is principally linked to an increase in sales and marketing expenditure focussed on our International division, as travel routes re-opened and once again we were able to provide direct support from the UK to our overseas distributors,’ the company stated.

Revenue inched up to £1.2 million from £1.1 million, however, thanks to the International division. ‘I am delighted that the group has returned to growth after suffering severe disruption to its business as a result of the pandemic,’ said Chair Nigel Keen.

‘We are expecting our International division to continue to perform robustly in the second half of 2022,’ Deltex said.

‘Good progress was made in the first half of 2022, and we are planning on launching the new monitor later this year. We anticipate that its launch will generate significant activity levels, including from our overseas distributors where we are expecting strong order demand in relation to replacing legacy monitors,’ said Chair Keen.

Deltex shares were 12% lower at 0.93 pence each in London on Tuesday afternoon.

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