Advanced Medical Solutions Group plc

(“AMS” or the “Group”)

Interim Results for the six months ended 30 June 2021

Winsford, UK, 15 September 2021: Advanced Medical Solutions Group plc (AIM: AMS), the surgical and advanced woundcare specialist company, today announces its unaudited interim results for the six months ended 30 June 2021 (the “Period”).

Financial Highlights:

Business Highlights (including post period end):

AMS is pleased to report interim results slightly ahead of the trading update of 7 July 2021 with strong revenue growth, profitability and cash generation despite the residual impacts of COVID-19. The Group made significant regulatory and clinical progress in the Period and continued to invest in developing next-generation products.

· Revenue increased to £50.2 million (2020 H1: £39.3 million) as the impact of COVID-19 continues to reduce and many key markets rebuild towards more routine levels of elective surgery. This represents an increase of 28% on a reported basis and 31% on a constant currency¹ basis

· The Group reports a 133% increase in adjusted profit before tax to £12.4 million (2020 H1: £5.3 million) with a significant improvement in operational leverage resulting from the increased sales volumes

· Net cash increased to £61.1 million from a year-end position of £53.8 million (2020 H1: £67.9 million) driven by improved trading and good operational cash flow

· Investment in R&D increased to £4.4 million (2020 H1: £3.8 million), representing 8.7% of revenue, as progress was made on key projects across the Group

· The US clinical trial to support the Premarket Approval (PMA) for LiquiBandFix8^® continues to progress well with patient procedure volumes now sufficient to prepare and submit the PMA clinical module. FDA filing for the device is on track for 2022

· The LiquiBand^® XL 510(k) application was submitted in the Period with approval expected by the end of 2021

· As previously announced, Seal-G^® and Seal-G^® MIST were awarded CE marks and the first human clinical trials commenced for both products in the Period. Interim study results are expected in early 2022 to support the full commercial European launch planned for 2022

· Good progress was made in integrating Raleigh, acquired in November 2020. Revenues continue to perform in line with initial expectations and it is expected to be earnings enhancing in 2021

· Given the Group's strong net cash position and reflecting the Board's continued confidence in the future, the interim dividend is increased to 0.58p per share (2020 H1: 0.50p)

· Post period end – Chris Locke was appointed as Chief Technology Officer and Douglas Le Fort was appointed as Independent Non-Executive Director

Commenting on the interim results, Chris Meredith, Chief Executive Officer of AMS, said: “ I am pleased to report the continued growth of the business as demand returns towards pre-pandemic levels. During the Period, AMS delivered strong revenue growth, profitability and cash generation, alongside significant regulatory and clinical progress in developing the next generation of innovative products that we expect to drive further growth over the coming years. AMS is in robust financial health to deliver organic and acquisitive growth, and reflecting the confidence of the Board, the interim dividend is being increased for the half year. The addition of Chris Locke and Douglas Le Fort to our team adds considerable R&D and commercial experience that will be valuable as we deliver on our significant growth opportunities. “

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