SomnoMed Limited (ASX: SOM) shares were stuck in a trading halt today for an unknown reason but the sleep apnea treatment and mouthguard device business did release its financial results for the quarter ending March 31 2019.
For the period it reported an operating cash loss of $2.7 million on operating revenue of $15.9 million, as the business still manages the fallout from its decision to close its Renew Sleep Solutions (RSS) operations in the U.S.
If we back out the loss of revenue from the RSS closures adjusted revenue grew 9% compared to the prior corresponding quarter, but including the RSS losses it dropped 6%.
The stock is down around 33% over the last year on the back of the poor performance of the RSS business that it has decided to close, with the group "realigning" to focus on its two critical sales channels of dentists and sleep physicians.
SomnoMed shares have previously traded as high as $3.93 in January 2018, but sentiment has turned on the back of its recent problems.
