Coloplast shares surge as Danish medtech group delivers strong Q1

Danish medical device group Coloplast saw shares surge over 8% in Copenhagen on Friday after the company delivered high single-digit growth across all areas of the business in the first quarter.

Organic revenues were up 8% in the three months to 31 December, in line with Coloplast's full-year growth rate guidance, while earnings before interest and tax gained 3% to DKK 1.82bn.

Organic revenues in the Ostomy Care business rose 8%, Continence Care increased 8%, Voice and Respiratory Care was up 7%, Advanced Wound Care rose 9% while Interventional Urology improved by 5%.

Meanwhile, biologics woundcare firm Kerecis was acquired last August for DKK 8.9bn ($1.3bn) made a strong start to the new financila year and saw underlying growth in the first quarter of 35% on the back of market share gains.

The company said it continues to expect 8% organic growth over the full year to 30 October 2024, but that reported growth in Danish krone has been trimmed to 11% from 12% previously due to negative currency movements. Meanwhile, Kerecis is estimated to account for four percentage points to group revenue growth over the full year.

Chief executive Kristian Villumsen said the company delivered a "good start", saying: "I want to highlight a strong first quarter in our Chronic Care business, which delivered broad-based growth, as well as a good start to the year for our newest member of the Coloplast family, Kerecis."

Villumsen continued: "We have now kicked off a year of product launches that will help drive our future growth. This quarter, we are launching Biatain Silicone Fit for pressure injury prevention and wound management in the US, as well as Peristeen® Light for people with bowel disorders in Europe. I believe both products will make a significant difference to people living with intimate healthcare needs."

The stock was up 8.2% at kr 878.8 by 1223 CET.