Revenues up at Trinity Biotech

IRISH MEDICAL diagnostic firm Trinity Biotech increased its revenues by 6 per cent in the third quarter of 2011.

The Nasdaq-listed company reported revenues of $19.8 million (€14.45 million), which compares to $18.7 million in the third quarter of 2010.

This is the sixth consecutive quarter in which the firm has increased its earnings.

The Co Wicklow-based company also reported a 25 per cent increase in operating profits to $4.1 million. Operating margin at the company was 20.7 per cent, a significant improvement compared to the 17.4 per cent reported for the same period last year.

Earnings per share rose by just over 12 per cent to 18.5 cent.

Gross profit for the quarter amounted to $10.3million, representing a gross margin of 51.7 per cent and was up from 50.6 per cent for the same period in 2010. This continues the trend of improving gross margins since the divestiture of the firm’s coagulation product line in the second quarter of 2010.

Point-of-care revenues were 6 per cent down on the same period last year, a drop the company attributes to lower HIV sales in Africa due to what it describes as “timing factors”.

The company’s clinical laboratory revenues, however, increased from $14.5 million to $15.9 million.

Chief financial officer Kevin Tansley said the increase in profitability was achieved despite an increase in tax charges for the quarter. He noted the quarter’s strong cash flows were used to fund the company’s share buyback programme.

Chief executive Ronan O’Caoimh said: “We are particularly pleased with the 13 per cent organic revenue growth in our key infectious diseases and diabetes business.” He also said the company was “making excellent progress” on the development of new point-of-care products.