Please read these articles
http://boards.fool.co.uk/Message.asp?mid=7842473

http://www.advfn.com/cmn/fbb/thread.php3?id=3982666

http://www.medisys-group.com/Prelims_5_061202-1.pdf'

http://www.safetysyringesplus.com/info.htm

This has massive potential from products other than FUTURA which if it takes off will be the iceing on the cake.Let me give you the highlights from this Mays interims;

Financial Highlights

Financial performance improved significantly:

* Turnover increased by 9% to #20.1 million (2002: #18.4 million)

* Product sales increased by 25% on a constant US dollar exchange rate basis

* Earnings before interest, tax, depreciation and amortisation was #0.3
million (2002: EBITDA loss of #7.0 million, before exceptional items, as
restated)

* Gross margin 37% (2002: 33%)

* Selling, distribution and administration costs reduced to #4.8 million
(2002: #7.4 million before exceptional items)

* Profit before amortisation and research and development expenditure
#2.6 million (2002: loss of #0.8 million before exceptional items)

* Research and development expenditure #3.0 million (2002: #7.1 million,
as restated)

* Operating loss #1.3 million (2002: #9.2 million, before exceptional
items, as restated)

* Loss before tax #1.6 million (2002: #9.2 million, before exceptional
items, as restated)

* Loss per share 0.58p (2002: 2.58p, before exceptional items, as
restated)

Product Highlights

* Sales of existing products in line with expectations

- Sales of Assure range increased to #6.9 million (2002: #5.6 million)

- QuickTek sales to mail order market segment #2.6 million

- Sales of Futura Safety Scalpel #1.0 million in period

- Sales of Advance system #0.5 million in period

* Futura Safety Syringe and Flight disposable blood glucose monitoring
system remain on track for mid-2003 market launch

* Development of Spear capillary fill bio-sensor strip proceeding to
schedule.

Pretty impressive eh !!

Now since this we have had;

FDA approval for Hypogaurd

http://www.advfn.com/p.php?pid=nmona&cb=1064066532&article=4778825&symbol=LSE%3AMDY

Futura passing final quality tests with Smiths

http://www.advfn.com/p.php?pid=nmona&cb=1064066532&article=5023328&symbol=LSE%3AMDY

A partnership with Walmart for Flight

http://www.advfn.com/p.php?pid=nmona&cb=1064066532&article=5194692&symbol=LSE%3AMDY

Launch of Spear

http://www.advfn.com/p.php?pid=nmona&cb=1064066532&article=5250424&symbol=LSE%3AMDY

Medisys "buy"

Monday, September 29, 2003 8:28:27 AM ET
Dryden Financial

LONDON, September 29 (New Ratings) Analyst I Broadhurst of Dryden Financial issues a "buy" rating on Medisys (MDY.L).

2003 New Ratings

Now this looks to me a company growing rapidly.The more I look into MDY the more confident I become of the potential rewards.These will not be instantaneous but will come over a period of time.Look at the turnaround in those figures posted above.Now that was in a recession.

http://www.charles-stanley.co.uk/content/SMI_oct03.pdf (see page 4)

http://www.research.reuters.co.uk/Research/Earnings.asp?ticker=MDY.L&country=GB&mxid=100068815&companyName=MEDISYS+PLC&sym=RE
VERY IMPORTANT MESSAGE TO ALL BUYERS/HOLDERS - PLEASE LISTEN

http://www.wallstreetreporter.com/profiles/Medisys.html

Very important.Please listen.

http://www.wallstreetreporter.com/profiles/Medisys.html

hope i very much that your faith in this company will win me over has i have been very disapointed so far????????????

Had a long hard think about a few comments made on this thread and wanted to post a response,

Someone on ADVFN mentioned that Becktons have captured the US market. Is this because they were the first to address the needlestick problem and everyone jumped in ? My thought is probably yes.

Now if there was not an alternative ,bar NMT, but that alternative was higher in price do you change ? NO

Now enter MDY with a comparable if not superior product. You evaluate. You accept and then you look at the price. Hey it's less expensive !

OK we know here in the UK that the NHS is looking at every way to cut back on expenditure and let's presume that it is the same in the US.

Now you have a company offering a comparable or superior product at a discount to what you are presently purchasing at ! What do you do ?

Now on a adifferent subject it is a well known fact that some investment companies will actually short a share to drive the price down and also the weeeker holders ! Is this what has been happening to MDY ?

There is also other market manipulation going on in different area's. As an example it is pure supposition that the MDY sales force will not be able to cope with sales of the Futura syringe so the analysts get worried. Hang on they never forcast that sales of the syringe would have any effect until 2006 ! Now MDY are saying sales will commence Q2 Fy2004 ! So they are taking not effect 2006 sales in 2003 and not looking at the facts on offer. Interesting.

Now take the Walmart deal. No one has really commented that the true sales generated from this will be realised next year. Everyone is interested in the Syringe which will not impact sales until 2006 but is going to be sold in 2004 !

Does it not sound that something is a little wrong here ?

My thoughts but IMO a BUY at these levels for the Future !!!!

well OK so it's Oversold? (opinion here) -Really?
Is the dividend so good that people are prepared to wait for the icing (if it ever comes). Let's not forget that a safety product must work every time - there really is no room for failure - and so why has the needle not been delivered - it can't be the tube, or the needle nor can it be the design of the plunger - all easy pieces to make - It is the retractable bit (silly me!!)- that's the difficulty and the time just keeps on rolling.
Had we listened to the company; the World would be awash this time last year - so did Smiths really expose a truth?
If the answer is yes then all the above sits well with the Smiths opinion - the product isn't going to happen just yet - and maybe not at all - don't think of this as the icing - it could be the Downfall = and who wants to be holding that butt-ugly baby when it's exposed to the world - in the heart of "I'll sue you Baby" culture?

As a past and (lesser now) holder MDY does seem to have a goodly Range of products - but if were the top marketeer I'd be wary of wrecking the status quo - like boring a hole in your life-boat ...to keep the inside dry (until required for use, etc.).
The current situation could be make or break for MDY - if Futura isn't launched, another new product can come along and keep the price sub-20p IMHO, maybe more . If the needle is marketed, the price will double with fanfare and noise ( this share was over 1 when Futura was the future!). -
But if there is a problem, delays in manufacture, a faulty batch (even), a law-suit against them -the price will once again test sub-10p ( didn't they get to 4p?)- and all those who buy-in near 20p will see their investment shreaded - so what's the alternative?

Watch and wait:
Hope the needle is quietly forgotten - or sell it to an American manufacturer on a Royalty basis - income stream for no risk.
A new product will come soon enough, without the baggage of a distressed mistress (wash my mouth) and happy times will be restored and maybe, just maybe there will be a dividend before this decade draws to a close. If there is any hint of a "fund-raising" forget it!
My advice to MDY is: Drop the US market with the needle - maybe a home-market until production is easy - but let's squash the idea that there is a bonansa "over there".

Got to agree with you hangon!!! Wait for something positive> The medisys story with the futura syring reminds of the pen in space story, The Americans spent $15 million dollars inventing a a pen that would work in space, VERY CLEVER you would say! The Russians solved this problem aswell they used a pencil. Will buy back in when i hear something not just speculation and ramping by moneyman

Interesting.

Is only MDY open to a "faulty batch" or "another new product to come along" syndrome?

How on earth would you ever invest in any company on the stockmarket if this is what you base everything on?

The diagnostics side of the business has crept up on its competitors and analysts alike, so much so that the days of 4p (barring a cure for type2 diabetes)are long gone.

Futura has a clearly defined market that now, for the very first time, is being actively promoted by the US Government, health care workers, insurers and the unions.Legislation is in place and spreading from state to state but now more rigorousley enforced, regarding the reduction of needlestick injuries.

The syringe works and is proven to work.Some "End user" resistance that will be solved by training.

Will the hospitals etc consent to this.?
Well given that say in 1 hour you have a shift of nurses paid overtime to learn to use a product that MDY management said in the recent results will "be substancialy cheaper" i believe, on an economics front alone,it stand as good a chance as some but far better than most.

Pheonix41

I was suggesting that MDY drop Futura in the USA (unless they can hive it off for a royalty) as THEY will develop another product, in good time, I'm sure they are not idle.[ i.e. Something different.].....Perhaps this was not clear?

As to your comments re Amrican Government - are you sure? The legislation has been in place for some time "honored in the breach" and the largest supplier (of syringes) has an effective answer to needle-stick, even if it doesn't satisfy MDY investors. (Heath and Robinson spring to mind)

I doubt the "substantially cheaper". Why would something more complex ( more components) be cheaper? I think MDY are trying to beat the existing product-pricing and I suspect the Market Leader could reduce their price substantially before it hurt, whereas MDY would have to admit defeat if first-year sales were only 20% of projection, say.
If I was the US-market leader, I'd want to blow the foreign competition out of the water. Then I'd raise my price, due to unexpected demand etc. etc.
All IMHO
-so all view have equal weight, maybe more.

bivi I have seen you on here and ADVFN accusing everyone of being a ramper.Now


YOU ARE A DERAMPER

DIVI !!

If reality checks are deramping then i guess it is! As to accusing everyone i doubt that, only you and one other on the medisys thread who have yet to take off their sandwhich boards proclaiming BUY BUY BUY all the time

From the provisional accounts

Geographically
2003 2002

#'000 #'000
----------- -----------
Turnover
United Kingdom 433 1,531
United States 36,741 34,116
Other 1,943 73
----------- -----------
39,117 35,720
=========== ===========

With such a high %age of t/o in the US could well be hit by fall in $ against even if not in terms of supply as accounts state source of supply is similar to turnover which does surprise me - ANY KNOWLEDGE? BUT IN TRANSLATION OF PROFIT TO STERLING.

"Geographical turnover is shown by location from which products and services are
supplied. Geographic turnover by location of customers is not materially
different.

Pug accounts posted Dec 2004 now if the $ rallys the recipricol will also be true !

Ofcourse with Hypogaurd being US orientated they will factor in a % to cover $ depreciation. Now will the $ drop any further or will GW Bush make it rally so that the market rallies and subsequently he is re-elected ?

NEW YORK, Nov 18, 2003 /PRNewswire-FirstCall via Comtex/ -- Last week, Paulson Investment Company, Inc. (Paulson Investment) polled executives at the 26th Annual Westergaard SmallCap Conference regarding their outlook on small-cap markets in 2004. 98 percent of respondents expect growth in small-caps in 2004, with 56 percent anticipating significant growth and 42 percent moderate growth, rather than negative or no growth.

"Our goal for the survey was to identify what the investment community anticipates in small-cap market activity in 2004, including growth in industry segments and investment banking," said Chet Paulson, chairman and founder of Paulson Investment Company.

Industries to watch

When asked what three small-cap sectors they anticipate will be most active in 2004, nearly 70 percent of respondents cited biotechnology, pharmaceuticals, and health care industries. Closely trailing was the Internet content and commerce sector which was selected by 66 percent of respondents and the software, communications, security and energy industries which were each selected by 30 percent of respondents as being the most active.

Nomura Equity Research

Date
12 January 2004
Market capitalisation
48.8m
No. of shares in issue
390.3m
Sector
Biotechnology
Reuters / Bloomberg Ref
MDY.L / MDY LN
3 year share price performance
PRICE REL. TO FTSE TECHMARK MEDISCIENCE - PRICE INDEX
HIGH 25.50 29/7/03, LOW 9.00 9/1/03, LAST 12.50 9/1/04 Source: DATASTREAM
1mth 3mths 12mths
Absolute 4.2 -9.1 38.9
Rel. to FTTMMDS -1.1 -12.7 -9.7

Medisys started 2003 with the promise of the launch of the Futura safety syringe and Flight,
the new diabetes monitor. Despite the fact that neither of these events occurred in 2003,
the stock has ended the year about 40% above where it started. The main reason for this, in
our view, is that investors have begun to accept that the companys diabetes-monitoring
business is performing well. Our analysis suggests that, even if the company does not
launch Flight or the syringe in 2004, it still has the legs to get to profitability. We believe a
good outcome for 2004 would be the successful launch of Flight in Q1-04 through Wal-Mart
and a self-launch of the Futura safety syringe (which is not in our model). On this basis, we
believe that news flow and valuation support a Buy recommendation on the stock. On the
other hand, if the company has a problem with the launch of Flight (the syringe is less
relevant as few expect a significant outcome for this product), then the negative news flow
would weigh on the stock. However, as we have quite a low-ball estimate for the products
peak sales (<0.5% market share), the impact on our valuation would be minimal. In such a
case, the weakness in the stock may prompt interest in the company, the continuing
business of which we believe is worth more than the current share price implies.
Recent performance. Delays with the safety syringe and a less-than-amicable divorce
between the company and its marketing partner (Smiths) in September have wiped away a
significant portion of the gains that the stock had registered since the beginning of 2003.
Downside. We believe the biggest issue facing Medisys is its lack of credibility with the
investor community, given the numerous delays to the launches of Flight and the safety
syringe. A further delay to the launch of Flight through Wal-Mart (now expected in Q1-04)
could push the stock down to below 10p.
Upside. We believe that the current valuation does not account for the value of the
underlying diabetes business. If Flight turns out to be a much more significant product than
we are currently assuming, then the stocks undervaluation would become even more
apparent.
Valuation. Assuming Flight achieves sales of 3.9m by 2008 and the syringe is not
launched (our base case), then our DCF suggests a fair value of 23.9p per share (terminal
growth rate of 4% and WACC of 11%). Taking Flight out reduces our fair value to 23.1p.
Thus, on this basis, the stock seems undervalued. In terms of P/E, we also believe the
stock is attractively priced at 6.25x 2005E EPS of 2p. Looking at the companys cash
position, and even assuming no growth in Advance and QuickTek and no new product
launches, the companys working capital facility of 4.8m should be sufficient to see it
through to profitability. Under this scenario, our fair value falls to 14p and the P/E to 8.5x.
12.5p

Hypoguard division
At the last count there were 17m diabetics in the US, 11-12m of whom are treated. The
diabetic population is growing at a net rate of 200-500k per year. The blood glucose
testing market in the US is worth over $2.5bn and continues to grow at over 10% p.a.,
fuelled by the rise in the number of diabetics and the percentage of treated patients. The
US market, by far the largest, is dominated by four major manufacturers (J&J with a 34%
market share, Roche 32%, Bayer 15% and Abbott 8%). The established Hypoguard product
range currently generates the bulk of Medisys sales, which are almost entirely derived from
the US market. This business recorded sales of 35.9m in the year ended 30 September
2003, which represented around 91% of product sales. Medisys has a range of new blood
glucose monitors in Hypoguard of which two (QuickTek and Advance) were launched in
2002. The next product due for launch is Flight, which was expected to be launched by
mid-2004, but is not expected in Q1-04. The business model is that of the razor and razor
blade. Medisys generally places free meters into the market, with the hope of recouping the
costs through captive sales of blood glucose strips. This is why a delayed launch of a
product often actually ends up benefiting the companys cash flow initially.
There are four major sales channels in the glucose monitoring market. The mail order
segment (20% of dollar sales) is dominated by Liberty Medical (part of PolyMedica), with a
70% market share. The retail category, dominated by the four big players, currently
accounts for 60-65% of the market by dollar value. About 5-10% of the market is in the
long-term care (LTC) segment (nursing homes), which Medisys dominates with a 37% share
in dollar terms, up from 35% in the prior financial year. The remaining 10% of the market is
in the hospital setting. Medisys has recently moved into the mail order segment of the
market via the launch of QuickTek and Advance through GEMCO, the second largest mail
order supplier of diabetes products. Retail, the largest market segment, is where Medisys
has yet to launch a product. Flight is destined for this market. Flights main edge over the
competition is its convenience, as the user does not have to handle individual strips. The
strips are contained in a sealed disposable unit incorporating a meter mechanism by which
it dispenses strips, which we believe is novel enough to convert some consumers.
Futura Medical
The established Futura Medical product range includes retractable scalpels, lancets (used by
diabetics) and kits used in blood analysis (ESR). The majority of the upside interest in this
business, however, lies in the new safety-based products led by the safety scalpel and
syringe. Although the former is already on the market, the company has yet to launch the
syringe, which has been a thorn in its side (and that of its investors) for a long time. The
product was due for launch by mid-2003. However, a series of further delays culminated in
a messy spat between the company and its partner (Smiths), which parted ways in
September 2003. Medisys, which has maintained all along that the product has been ready
for launch for several months, is now aiming to launch the syringe through its own 40-
person sales force into the long-term care market directly. This is expected some time in
Q2-2004. We believe that, despite the variety of delays to this product, if Medisys manages
to find another partner to take on a US-wide hospital launch of the product, then it should
do relatively well given its cost, which is significantly below other passive-activation products.
We have erred on the side of caution and have excluded the product from our model. On
the other hand, the safety scalpel has been selling well, although we are assuming a shortterm
fall-off in sales whilst the company takes over marketing from Smiths. We believe that
the market dynamics have not changed much in the three-or-so years that Medisys has
been trying to get the product to market. The US Occupational Safety and Health
Administration (OSHA) continues to estimate that 5.6 million workers in the healthcare
industry and related occupations are at risk of occupational exposure to bloodborne
pathogens. It is estimated that 600-800,000 needlestick injuries (NSIs) and other similar skin
injuries still occur annually among healthcare workers.

Status On market
Probability: 100%
Partner: GEMCO and
Wal-Mart
Patents: NM
2007E sales m
QuickTek: 11.0
Assure/Supreme: 22.2
Advance: 10.9
Flight: 3.9
Lancets: 9.3
Other: 2.5
2007E total: 61.8m
% of total sales: 90%
Status On
market
Probability: 100%
Partner: None
Patents: NM
2007E sales m
Syringe: 0.0
Lark scalpel: 6.3
Other: 1.6
Total sales: 7.9m
% of total sales: 10%
Source: Nomura estimates

Contact
Sam Fazeli
+44 20 7521 3147
Erling Refsum
+44 20 7521 1417
Nomura, London
Anticipated News flow NPV calculation m
Net debt YE-04 27.8
NPV 139.7
EV 112.0
No. shares (m) 467.8
EV/share (p) 23.9
Q1-04 Launch of Flight (New Tek) through Wal-Mart stores
H1-04 Launch of Futura safety syringe through own sales force
into the US long-term care market
2004 New distribution partners for QuickTek and Advance
Source: Company data and Nomura Source: Nomura estimates
January 2004

Medisys PLC Chief Executive Officer Talks to the Wall Street Transcript

http://biz.yahoo.com/bw/040113/135638_1.html

can anyone help me with regards to medisys plc has i have been out of the country and dont know wants been happening with this stock????????//

llew it dropped after they termianted the distribution agreement with Smiths after derogatory comments from the Smiths CEO.THings are comming back on line and the results were very very good.They will now be marketing the Syringe themselves until a new distribution partner has been found.

Seems to be a consistant buyer of large lumps.

L2 strengthed at the close 2 vs 1

thanks very much happy1?lets hope you are right as i have brought some more of this stock?

10S Gone through 50.Higher lows.If it breaks 200.Well?


Worth a punt.

I certainly think it is.