Hamilton Thorne Reports Financial and Operational Results for the Quarter-Ended September 30, 2021

Revenues up 30%; Adjusted EBITDA up 22% for the quarter;
Revenues up 33% and Adjusted EBITDA up 67% for the nine-month period

BEVERLY, Mass. and TORONTO, Nov. 22, 2021 (GLOBE NEWSWIRE) --  Hamilton Thorne Ltd. (TSX-V:HTL), a leading provider of precision instruments, consumables, software and services to the Assisted Reproductive Technologies (ART), research, and cell biology markets, today reported unaudited financial and operational results for the quarter and nine months ended September 30, 2021.


  • Sales increased 30% year over year to $12.7 million for the quarter and increased 33% to $36.7 million for the nine-month period; constant currency increase of 24% for the quarter and 28% for the nine-month period
  • Gross profit increased 23% to $6.0 million for the quarter and 31% to $18.3 million for the nine-month period
  • Net income was $249 thousand for the quarter and $1.6 million for the nine-month period, versus $459 thousand and $10 thousand in the prior year periods
  • Adjusted EBITDA increased 22% to $2.0 million for the quarter and 67% to $6.8 million for the nine-month period
  • Organic growth in USD was 16% for the quarter, 11% in constant currency; organic growth was 28% for the nine-month period, 21% in constant currency
  • Cash generated from operations was $549 thousand for the quarter, and $3.8 million for the nine-month period; total cash on hand at September 30, 2021 was $18.0 million

“Our third quarter highlighted the continued strength of our business,” stated David Wolf, President and Chief Executive Officer. “Sales of $12.7 million reflects a record quarter and were up 30% versus the third quarter of 2020. Sales of $36.7 million for the nine months increased 33% over the prior year. Looking at our growth excluding the impact of Covid-19 and acquisitions, we grew sales organically at compounded annual growth of approximately 16% for the third quarter of 2021 versus the pre-pandemic third quarter of 2019.”  

  Three- and Nine-Month Periods Ending September 30
   Three Months Nine Months  
Statements of Operations:  2021 2020 2021 2020  
Sales $12,685,066$9,793,572$36,731,264$27,521,207  
Gross profit  6,020,724 4,909,228 18,291,833 13,921,632  
Operating expenses  5,553,997 4,199,819 15,760,895 12,516,473  
Net income (loss)  249,319 459,289 1,597,613 10,348  
Adjusted EBITDA  2,034,466 1,668,075 6,801,110 4,068,950  
Basic earnings per share$0.00$0.00$0.01$0.00  
Diluted earnings per share$0.00$0.00$0.01$0.00  
Statements of Financial Position as at:  Sep. 30, 21Dec. 31, 20  
Cash   $18,047,045$21,828,443  
Working capital    22,634,365 22,076,872  
Total assets    75,146,516 69,808,718  
Non-current liabilities    10,347,127 7,008,568  
Shareholders' equity    54,304,600 51,065,925  

All amounts are in US dollars, unless specified otherwise, and results, with the exception of Adjusted EBITDA, are expressed in accordance with the International Financial Reporting Standards ("IFRS").

Mr. Wolf continued, “Sales of consumables and services, which closely correlate to increased activity at our customer sites, augmented by our market share gains, were up over 30%, while equipment sales, reflecting more normalized demand augmented by the IVFtech acquisition, were up 28% for the quarter. Gross profit margins decreased to 47.5% for the quarter and to 49.8% for the nine months ended September 30, 2021, versus 50.1% and 50.6% for the comparable periods in 2020 primarily due to product and channel mix and increased costs of materials and shipping due to supply chain issues.”

The Company continues to be active with its acquisition program. In July, the Company acquired IVFtech ApS, which manufactures laminar flow workstations for controlling temperature, air flow, and air quality in ART and laboratory markets worldwide, as well as flatbed incubators and a number of accessories and related products. The Company also acquired IVFtech’s affiliated direct sales business, K4 Technology ApS. This acquisition adds a number of high-quality product lines with significant growth potential to our product portfolio, and establish a direct sales presence for the entire Hamilton Thorne product range in the Nordics region of Denmark, Sweden, Norway, Finland and Iceland.

The Company has an active pipeline and is working on multiple opportunities. With approximately $18 million in cash and $12 million of available lines of credit, Hamilton Thorne is well positioned to execute on additional acquisition opportunities.

The Company reported that operating expenses were generally in line with expectations, with increased costs associated with maintaining investments in R&D and sales and support personnel, variable costs of sales returning to historical levels, and acquisition expenses post-transactions.


Mr. Wolf added, “Our outlook for the balance of the year is positive with expected normalized sales growth in the fourth quarter which should continue for the foreseeable future. While supply chain issues have created new challenges, we believe that they are affecting all market participants and we have demonstrated our ability to navigate product shortages and extended lead times without a material impact on sales. We are planning across the board price increases in early 2022 that should address the margin impacts we had in Q3. We do repeat our caution that the resurgence of Covid-19 cases in certain parts of the world based on new variants and the supply chain issues we have discussed could impact on sales and profitability for a period of time that is difficult to predict.”

Conference Call

The Company will hold a conference call on Monday, November 22, 2021, at 11:00 a.m. EST to review highlights of the results. All interested parties are welcome to join the conference call by dialing toll free 1-855-223-7309 in North America, or 647-788-4929 from other locations, and requesting Conference ID 5078809. The Company’s updated investor presentation and a recording of the call will be available on Hamilton Thorne’s website shortly after the call.    

Financial statements and accompanying Management Discussion and Analysis for the periods are available on www.sedar.com and the Hamilton Thorne website.

About Hamilton Thorne Ltd. (www.hamiltonthorne.ltd)

Hamilton Thorne is a leading global provider of precision instruments, consumables, software and services that reduce cost, increase productivity, improve results and enable breakthroughs in Assisted Reproductive Technologies (ART), research, and cell biology markets. Hamilton Thorne markets its products and services under the Hamilton Thorne, Gynemed, Planer, IVFtech, Embryotech Laboratories, and Tek-Event brands, through its growing sales force and distributors worldwide. Hamilton Thorne’s customer base consists of fertility clinics, university research centers, animal breeding facilities, pharmaceutical companies, biotechnology companies, and other commercial and academic research establishments.

Neither the TSX Venture Exchange, nor its regulation services provider (as that term is defined in the policies of the exchange), accepts responsibility for the adequacy or accuracy of this release.

The Company has included Adjusted EBITDA, Organic Growth, and Constant Currency as non-IFRS measures, which are used by management as measures of financial performance. See section entitled “Use of Non-IFRS Measures” and “Results of Operations” in the Company’s Management Discussion and Analysis for the periods covered for further information and a reconciliation of Adjusted EBITDA to Net Income.

Certain information in this press release may contain forward-looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements unless and until required by securities laws applicable to the Company. Additional information identifying risks and uncertainties is contained in filings by the Company with the Canadian securities regulators, which filings are available at www.sedar.com.

For more information, please contact:

David Wolf, President & CEO      
Hamilton Thorne Ltd.
Michael Bruns, CFO
Hamilton Thorne Ltd.                
Glen Akselrod
Bristol Investor Relations