Bell Potter 2023 picks:
Aroa Biosurgery (ARX)
Aroa Biosurgery is a commercial stage
medical device company that operates
within the complex wound care and
soft tissue reconstruction sector.
The portfolio includes Endoform/
Myriad/Symphony (complex wounds)
and the OviTex devices (breast &
hernia surgery) which are distributed
through TELA Bio in the US. 1H23
Revenue NZ$29.3m (48% revenue
growth on 2H22) has been driven by
Myriad and OviTex sales. Aroa has
maintained its FY23 revenue guidance
of NZ$62-64m, gross product margin
of 84% and normalised EBITDA to be
approximately breakeven. Key catalysts
include the ongoing commercialisation
of Myriad, Symphony launch during
CY23 and product line extension
involving OviTex.
Buy, Price Target au$1.40