Daily Brief Health Care: Siloam International Hospitals, Pixium Vision Sa, Universal Vision Biotechnology and more

• Siloam International Hospitals (SILO IJ) is coming out of the COVID period with guns blazing as base case revenues continue to grow, surpassing pre-pandemic levels and with margins improving. 
• 2022 was a year of two halves and 2H2022 saw a clear resumption of base case patient activity, Siloam also saw the benefits of unified pricing and improved efficiencies.
• Siloam looks well-positioned to grow its base case revenues further in the coming year, with a healthy cost base and more beneficial pricing. Valuations are attractive on 9.4x FY2023E EV/EBITDA.

The US Food and Drug Administration (FDA) has granted Breakthrough Device designation (BDD) to Pixium’s wireless Prima bionic vision system (BVS), which is currently being assessed in the European PRIMAvera pivotal study in patients with geographic atrophy due to age-related macular degeneration (GA-AMD). This achievement suggests that the FDA recognises GA-AMD is an irreversibly debilitating human disease and that Prima BVS has the potential to provide an effective treatment in this area of unmet need. Pixium remains on track to report top-line data from PRIMAvera in or around year-end 2023. If positive, a CE Mark regulatory marketing submission can be filed in 2024, which we estimate could lead to commercialisation of the Prima system in H125.

• Universal Vision Biotechnology (3218 TT) reported continued growth in 2022, with revenue, operating profit, and net profit increasing 33%, 41%, and 43%, YoY, respectively.
• Revenue from high-margin technical service grew 45% YoY, driven by increasing number of refractive and cataract surgeries performed in Taiwan.
• UVB remains on a steady growth path and started 2023 on a strong note. During the first two months of 2023, the company recorded revenue of NT$661M, up 18% YoY.