Medigus Announces $53.3 million in Revenues for the First Six Months of 2023

Medigus Ltd

TEL AVIV, Israel, Sept. 28, 2023 (GLOBE NEWSWIRE) -- Medigus Ltd. (Nasdaq: MDGS) (“Medigus”), a technology company engaged in innovative internet technologies, electric vehicle and charging solutions and advanced medical solutions, today announced financial results for the six-month periods ended June 30, 2023.

H1 2023 and recent highlights:

• Medigus’ revenues reached $53.3 million in the first six months of 2023, compared to $35 million in the first six months of 2022, representing a 52% increase;

• Medigus’ subsidiary for EV Wireless Charging, Charging Robotics, merged with a public company in the US and commenced trading on the OTC Market (OTCMKTS: FDOC);

• Medigus sold its entire stake in Odysight.ai Inc. (formerly known as Scoutcam Inc.) for approximately $5.7 million in cash;

• Drone safety company, ParaZero (PRZO), commenced trading on Nasdaq, following a $7.8 million initial public offering (”IPO”);

• Jeffs’ Brands (JFBR) revenues for the first six months of 2023 totaled $3.9 million, compared to $2.3 million in the first six months of 2022,  representing a 65% increase;

• Viewbix (OTC: VBIX) reported its condensed consolidated financial results for the first half of 2023 with revenues totaling $48 million, an increase of 10% compared to the first half of 2022; and

• Eventer’s revenues for the first six months of 2023 amounted to approximately $1.5 million with net profit for the first time.

We are thrilled to report a great first half of 2023 for Medigus. Our revenue growth, reaching $53.3 million, showcases a substantial 52% increase compared to the same period last year, reflecting our team’s unwavering commitment to excellence and strategic foresight,” said Liron Carmel, Chief Executive Officer of Medigus. “The successful IPO of ParaZero, exciting merger of our subsidiary, Charging Robotics, with a US public company and the sale of our Odysight.ai Inc stake are all testaments to our strategic moves to optimize shareholder value.”

Mr. Carmel added, “We’re also pleased with Viewbix’s commendable performance. As we move forward, the expiration of all our listed warrants ensures a simplified capital structure in addition to our cash boost as a result of the sale of Odysight.ai Inc. At Medigus, we are always striving to pioneer, innovate, and grow, and we remain excited for what the future holds for our company and our stakeholders.”

The Company’s gross profit for the first half of 2023 was approximately $8.2 million, compared to a gross profit of approx. $6.1 million in the first half of 2022. Operating loss for the six months ended on June 30, 2023, was $9.8 million, compared to operating loss for the six months ended on June 30, 2022, of approx. $6.3 million.

About Medigus

Based in Israel, Medigus Ltd. (Nasdaq: MDGS) is a technology company focused on innovative growth partnerships, engaged in innovative internet technologies, electric vehicle and charging solutions and advanced medical solutions. Medigus’ affiliations in the medical solutions arena include ownership in Polyrizon Ltd. The Company’s affiliates in digital commerce include Gix Internet Ltd., Jeffs’ Brands Ltd. and Eventer Technologies Ltd. In the electric vehicle market, Charging Robotics Ltd. and Revoltz Ltd. by way of Fuel Doctor Holdings, Inc., are also part of the Company’s portfolio of technology solution providers. Medigus is traded on the Nasdaq Capital Market. To learn more about Medigus’ advanced technologies, please visit http://www.medigus.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Because such statements deal with future events and are based on Medigus’ current expectations, they are subject to various risks and uncertainties, and actual results, performance or achievements of Medigus could differ materially from those described in or implied by the statements in this press release.

The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed in any filings with the SEC. Except as otherwise required by law, Medigus undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. Medigus is not responsible for the contents of third-party websites.

Company Contact:
Tali Dinar
Chief Financial Officer
+972-8-6466-880
ir@medigus.com

Investor Relations Contact:
Michal Efraty
Investor Relations, Israel
+972-(0)52-3044404
michal@efraty.com

MEDIGUS LTD.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

				June 30, 2023				December 31, 2022
				Unaudited				Audited
				USD in thousands
ASSETS
CURRENT ASSETS:
Cash and cash equivalents					12,359				20,065
Short term deposits					11				859
Restricted cash					182				185
Trade accounts receivable					18,981				21,449
Receivable from sale of shares					5,774				-
Other receivables					2,015				1,928
Inventory					2,543				1,791
Loans to associates					1,181				546
Loans to others					1,017				1,011
Related parties					238				298
Financial assets at fair value through profit or loss					2,243				4,126
					46,544				52,258
NON-CURRENT ASSETS:
Property and equipment, net					384				408
Right-of-use assets, net					598				591
Investments accounted for using the equity method					5,454				11,892
Intangible assets, net					31,036				30,862
Deferred tax asset					458				397
Financial assets at fair value through profit or loss					1,193				1,243
					39,123				45,393
TOTAL ASSETS					85,667				97,651

MEDIGUS LTD.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

				June 30, 2023				December 31, 2022
				Unaudited				Audited
				USD in thousands
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Trade accounts payable					18,587				20,421
Short term loans					5,973				5,111
Current portion of long-term loans					1,879				1,500
Lease liabilities					165				131
Warrants at fair value					158				396
Liability to event producers					1,526				1,654
Warrants at fair value issued by a subsidiary					3,142				4,159
Related parties					811				1,055
Accrued expenses and other current liabilities					3,638				3,200
					35,879				37,627
NON-CURRENT LIABILITIES:
Lease liabilities					447				512
Long-term loans					3,128				2,881
Deferred tax liability					1,747				1,817
Accrued severance pay, net					19				125
					5,341				5,335
TOTAL LIABILITIES					41,220				42,962
EQUITY:
Share capital - ordinary shares with no par value:  authorized - June 30,2023 - 200,000,000 and December 31, 2022 - 200,000,000 shares; issued and outstanding - June 30, 2023 - 25,524,570 shares December 31, 2022 - 24,661,470 shares					-				-
Share premium					111,589				111,322
Other capital reserves					13,763				13,208
Warrants					197				197
Accumulated deficit					(93,786	)			(85,586	)
Equity attributable to owners of Medigus Ltd.					31,763				39,141
Non-controlling interests					12,684				15,548
					44,447				54,689
TOTAL LIABILITIES AND EQUITY					85,667				97,651

MEDIGUS LTD.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF LOSS
AND OTHER COMPREHENSIVE LOSS

				Six months ended June 30,
				2023				2022
				Unaudited
				USD in thousands
Revenues
Products					3,871				2,343
Services					49,514				32,616
					53,385				34,959
Cost of revenues:
Products					3,497				1,933
Services					41,688				26,834
					45,185				28,767
Gross profit					8,200				6,192
Research and development expenses					2,632				2,500
Sales and marketing expenses					1,868				2,240
General and administrative expenses					8,274				5,057
Net change in fair value of financial assets at fair value through profit or loss					3,978				813
Equity losses					1,238				1,910
Operating loss					(9,790	)			(6,328	)
Gain from initial recognition of assets and liabilities upon consolidation of Gix Internet					-				(2,300	)
Loss from sale of investments					-				(68	)
Other income					(154	)			(176	)
Changes in fair value of warrants issued to investors					(238	)			99
Changes in fair value of warrants issued to third party investors by a consolidated subsidiary					(1,017	)			63
Financial loss, net					978				793
Loss before taxes on income					(9,359	)			(4,739	)
Tax expenses					(177	)			(9	)
Net loss for the period					(9,536	)			(4,748	)
Other comprehensive income (loss)
Items that may be reclassified to profit or loss
Share of other comprehensive income (loss) of consolidated subsidiaries and associates accounted for using the equity method					306				(961	)
Other comprehensive income (loss) for the period					306				(961	)
Total comprehensive loss for the period					(9,230	)			(5,709	)
Net loss for the period is attributable to:
Owners of Medigus					(8,200	)			(3,590	)
Non-controlling interests					(1,336	)			(1,158	)
					(9,536	)			(4,748	)
Total comprehensive loss for the period is attributable to:
Owners of Medigus					(8,061	)			(4,275	)
Non-controlling interests					(1,169	)			(1,434	)
					(9,230	)			(5,709	)
Loss per ordinary share attributed to Medigus ltd
Basic					(0.33	)			(0.15	)
Diluted					(0.33	)			(0.15	)
Weighted average ordinary shares outstanding (in thousands)
Basic					24,490				24,109
Diluted					24,490				24,109