Boule Diagnostics is a global player in blood diagnostics, focusing on patient-friendly solutions for small and medium-sized hospitals, clinics and veterinary practices. With its own instruments and consumables for blood cell counting, the company has built a presence in the USA, Mexico, Russia and Asia. The company currently has more than 200 employees and had sales of SEK 559 million last year.
With the closure of BM950The project also launches a new development strategy. The company is moving from developing products in-house to leaning on technology partners, especially from Asia where the pace of innovation has increased.
– We are aware of the rapid progress being made by Asian technology companies, which have increased the pace of development in the industry in recent years, says Boule Diagnostics CEO Torben NielsenThis requires a different approach to how we bring innovations to market as well as where we allocate our resources to ensure we remain relevant to our distribution partners and end customers.
Lower costs lead to better cash flow
The BM950, which is now being scrapped, was an expensive lesson – technical obstacles meant that the product could not reach the market in time to meet demand. The shutdown means an impairment of intangible assets of SEK 92 million in this year's financial statements and a further SEK 25 million in restructuring costs in the first quarter of next year.
No impact on growth forecasts is expected and the lower costs for research and development mean that cash flow is expected to be positive already in the second half of 2026.
“By partnering with leading technology companies, we can leverage breakthrough innovations to strengthen our offering much faster and with less investment. This enables us to intensify investments in the growing profitable blood testing and OEM reagents business, where we are competitively differentiated and where we have seen growth that outperforms the market in recent years.”
The stock market initially reacted negatively to the announcement and the stock traded down by just over 6 percent on Wednesday.