Trinity Biotech warns of profit shortfall

Wicklow-based manufacturer of diagnostic products Trinity Biotech said today net profits will be below expectations in the current…

Wicklow-based manufacturer of diagnostic products Trinity Biotech said today net profits will be below expectations in the current and next quarter.

Chief financial officer Mr Maurice Hickey said although revenues have grown and gross margins have been maintained at 50 per cent, net profits will be lower than forecast.

This was because of the investment being made in Trinity's sales operation in the US and in Germany, which was opened at the start of this quarter, he said.

A tax provision of $160,000 was made in the quarter as tax losses carried forward were eroded by the profits being generated by Trinity's operations, the company said.

READ MORE

Mr Hickey said revenues grew 26 per cent quarter on quarter due to organic growth and strong sales of Bartels's product lines.

"The increase in selling, general and administrative expenses reflects our investment in sales and marketing platforms in key markets, which we anticipate will serve us well in the near future," he said.

AFP