News: SomnoMed has substantial shareholding notice from Australian Ethical

SomnoMed Limited (ASX:SOM) has received a initial substantial shareholder notice from major fund manager Australian Ethical Investment (ASX:AEF) with a 5.25% interest in the company.

AEF had acquired 10,000 shares in the company for $25,045, or about $2.50 per share, taking its total holding up to 2,681,250 shares.

Shares in SOM last traded at $2.46.

AEF had $1.17 billion in funds under management as at 30th June 2015.

Accelerating growth in direct sales of SomnoMed’s Continuous Open Airway Therapy devices has resulted in a 13.8% increase in revenues for the year ended 30th June 2015 to $34.4 million.

After tax profit was also up 47.1% to $597,224 as gross margins on the sale of SomnoDent® devices increased to 68% from 67%.

The growth was due to the company hitting new sales records in all three geographic regions, the U.S., Europe and the Asia Pacific (APAC).

This trend looks set to continue in FY2016 due to accelerating growth in the U.S., new markets in Europe and the introduction of new products during the year.

SOM is also self-funded with cash of $8 million.