Dawmed reduces losses

MEDICAL equipment company Dawmed today said it had seen improved performance despite still being in the red.

For the six months to March 31, the Rotherham-based business reported a pre-tax loss of £398,500 compared to a loss of £440,000 over the same period the previous year.

But the company said the figure had been impacted by an “exceptional foreign exchange loss and non-recurring abnormal costs”, leaving an underlying loss of £76,500.   

Dawmed designs, manufactures, sells and services healthcare decontamination equipment and consumables used by NHS Trust hospitals, private hospitals, clinics and primary care practitioners.

Turnover increased by 67% to £3.82m compared to £2.29m in 2006 and the company said sales of its own products “significantly increased” over the six months.

Kevin Gilmore, executive chairman of Dawmed, said: “I am pleased to report a buoyant period of recovery from last year’s losses, with a first half underlying performance turnaround of £501,000, excluding the effects of the exceptional foreign exchange loss and the non-recurring abnormal costs expected to be recoverable in the second half, and I look forward to the current profitable trading leading to profitability for the second half of the year.”

Mr Gilmore said the recovery of the NHS from its “well noted period of extensive financial deficit” had allowed Dawmed’s sales of equipment for use in hospital endoscopy departments to return to an expected level.

He said sales of Dawmed’s own decontamination equipment, including its AERclens and Clinic machines, into ear, nose and throat departments of hospitals and the dentistry markets respectively had been encouraging.