Full Year Trading Update

Oxford, UK - 18 January 2024: NIOX Group plc ("NIOX", the "Company" or the "Group"; AIM: NIOX), a medical device company focused on point of care asthma diagnosis and management, today announces the following trading update for the year ended 31 December 2023.

Highlights (unaudited data)

• Revenue growth of c.18% (c. 22% on a constant currency basis) to £36.8m (2022: £31.3m)
• Clinical Revenue growth of approximately 24% to £32.6m (2022: £26.2m), approximately 29% on a constant currency basis
• Adjusted EBITDA in line with consensus expectations at approximately £11.4m (2022: £7.3m)
• Net cash £19.9m (31 December 2022: £19.4m)

Unaudited revenues for the year ended 31 December 2023 were up 18% at approximately £36.8m (2022: £31.3m) with revenues growing by approximately 22% on a constant currency basis. Given that less than 10% of the group's sales are invoiced in sterling, reported revenues are subject to fluctuation as a result of exchange rates.

Clinical revenues were approximately £32.6m (2022: £26.2m) and grew at approximately 24% (approximately 29% on a constant currency basis). Research revenues were approximately £4.2m (2022: £5.1m) and fell by approximately 18% (approximately 14% on a constant currency basis).

Gross margins improved to 72% from 71% in 2022, with recurring test kit revenues for the Clinical business continuing to represent a high proportion of Clinical sales at 92%.

Group adjusted EBITDA1 was approximately £11.4m (2022: £7.3m), in line with current consensus market expectations which have been revised upwards twice during the year.

The unaudited cash balance at the period end was £19.9m (31 December 2022: £19.4m). During the year, the group's continuing activities generated approximately £11.0m of operating cash flow; discontinued activities had a cash outflow of approximately £2.0m, a special dividend of £10.5m was paid and $3.5m was received from Beyond Air under the terms of the relevant settlement agreement.

Ian Johnson, NIOX's Executive Chairman, said: "I am pleased to report continued strong growth in revenues and profits which were driven by our core Clinical business. All three geographic areas generated good growth in the year. Our manufacturing partner also started work on the development of the next generation NIOX Pro® device which is expected to be launched in 2025.

During 2024 management's focus is on growing revenues in the USA, expanding into new healthcare professional channels and developing a product for home-use.

The Board believes that the Company's robust business model will continue to deliver profitable growth and drive further shareholder value."

NIOX expects to release its preliminary results for the year ended 31 December 2023 on 26 March 2024.

1 Adjusted EBITDA excludes depreciation, amortisation, impairment and share option charges