FY trading update Tristel has this morning released a FY’22 trading update, ahead of its Open Day for Shareholders to be held at the company’s HQ in Snailwell. The number of patient & disinfection procedures increased significantly in H2 across all major markets, resulting in a strong H2 performance, as expected. Sales of the Cache range of surface disinfection products also grew during the period. Revenue for the year was £28.4m, in line with our forecast. Adj PBT for the period (before share-based payments) was £4.5m vs. our £4.4m estimate (£2.7m forecast post share-based payments). Cash & equivalents at period-end stood at £9.0m. A special dividend of 3p/share has been declared, payable in August. Recent US filing bodes well for medium-term upside On 30th June, Tristel announced that it had submitted an application for FDA clearance of Tristel Duo ULT, a chlorine dioxide product in a foam formulation for high-end disinfection of ultrasound probes, an indication representing around 40% of Tristel’s global revenue. Tristel Duo is the first high-end disinfectant entering the De Novo pathway, reflecting the lack of comparable products on the US market. Meanwhile Tristel’s US partner, Parker Laboratories (a leading supplier of disposables into US ultrasound clinics), is also progressing state registrations of a separate, surface disinfection version of Tristel Duo. As of 30th June, 24 state approvals had been achieved. Our view The strong H2 performance is in line with our expectations. In our view, Tristel’s chlorine dioxide based products are differentiated in terms of not only potency but also user-friendliness and reduction of plastic waste. We continue to anticipate FDA clearance of Tristel Duo in mid-2023. We reiterate Buy.