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ASX ANNOUNCEMENT / MEDIA RELEASE 25 November 2021 AROA ™ AROA BIOSURGERY HALF YEARLY REPORT H1 FY21 Highlights • • • • • • H1 FY22 product revenue ( unaudited ) grew 110 % on H1 FY21 and 39 % on H2 FY21 , to NZ $ 17.2 H1 FY22 product revenue ( unaudited ) grew 110 % on H1 FY21 and 39 % on H2 FY21 , to NZ $ 17.2 million on a constant currency basis.1 H1 FY22 product revenue ( unaudited ) was $ 17.7 million on a reported basis . Total reported H1 FY22 revenue ( unaudited ) , inclusive of project fees was NZ $ 17.9 million . Product gross margin % up 13 % on H1 FY21 and 5 % on H2 FY21 , to 75 % on a constant currency basis . Strong cash balance of NZ $ 65.3 million as at 30 September 2021 , and the Company is debt free . FY22 guidance for product revenue ( on a constant currency basis ) maintained at NZ $ 34-37 million ( up 58 % -71 % on FY21 ) .² AROA will host a webinar today at 11.30am AEDT to discuss the results . Click here to register . Soft tissue regeneration company Aroa Biosurgery Limited ( ASX : ARX , ' AROA ' or the ' Company ' ) is pleased to announce its audited results for the first half of the 2022 financial year , which ended 30 September 2021 . Management Commentary Managing Director and CEO Brian Ward said " We entered this financial year with momentum , following a number of strategic shifts aimed to elevate and escalate AROA's growth . Whilst the global resurgence of COVID - 19 has presented significant challenges , I am proud that our team has remained resilient and focused . They have delivered a strong result and continue to work hard , going above and beyond to implement our targeted growth strategies . This has enabled more patients to access regenerative healing . To date , AROA's products have been used in more than four and a half million procedures globally . On behalf of the Board , I want to acknowledge and thank our employees and partners for their ongoing contribution . " " Looking ahead , we are pleased to maintain our guidance for the 2022 financial year . With strong cash on hand , we plan to continue investing in our US commercial operations to help drive that growth . We expect the coming half year to mark a number of key milestones , including the completion of our second manufacturing facility and limited commercial launch of our new SymphonyTM product . These steps will better position us to unlock regenerative healing for everybody . " 1 Constant currency removes the impact of exchange rate movements . This approach is used to assess the AROA group's underlying comparative financial performance without any distortion from changes in foreign exchange rates , specifically the USD . The NZD / USD exchange rate of 0.72 has been used in the constant currency analysis , representing the AROA group's budget rate for FY22 . All references in this announcement to ' constant currency ' are as set out in this footnote . 2 Given the dynamic and evolving impact of COVID - 19 , the upgraded guidance is subject to there being no material decline in US medical procedure numbers . It assumes an average NZD / USD exchange rate of 0.72 . Unlocking regenerative healing for everybody AROA BIOSURGERY LIMITED ARBN 638 867 473 NZCN 1980577 64 Richard Pearse Drive , Auckland 2022 , New Zealand AROABIO.COM