Abzena revenues up 157%

Abzena's revenues rose 157% to £9.0 million in the six months to the end of September, driven by acquisitions, significant repeat business and multiple projects utilising a broader range of services.

Underlying revenue growth was 46% (proforma revenue H1 2016: £6.1m). Gross profits were up 133% to £3.8 million (H1 2016: £1.6 million), with underlying gross profit increasing 31%.

Other highlights:

- Positive response from biopharmaceutical customer base including 11 (H1 2016: 7) of the top 25 biopharmaceutical companies to the Group's enlarged service offering

- Successful integration of two US businesses acquired in late 2015 leading to expansion of several customer relationships and further repeat work from major customers

- 11 'Abzena inside' portfolio products in clinical development (H1 2016: 11 products)

- New manufacturing agreements secured for 'Abzena inside' product, Faron Pharmaceuticals' Clevegen, and a further multi-product repeat customer programme

- Adjusted EBITDA loss of £3.0m (H1 2016: £2.9m) down £0.4 million on H2 2016

- Reported loss of £4.0 million (H1 2016: £3.5 million) reflecting increased share-based payment charges, depreciation & amortisation and reduced provision for R&D tax credit income

- Cash and cash equivalents at 30 September 2016 of £9.4 million (31 March 2016: £13.7 million)

Chief executive Dr John Burt said: "This half has seen strong revenue growth driven by our expanded capabilities, providing services across the broader spectrum of biopharmaceutical development, as well as the positive uptake and cross buying of services from new and existing customers. "We intend to capitalise on the opportunities that exist in the fast-growing biopharmaceutical outsourcing space where there is increasing demand from our partners for seamless services. We will continue our strategy of investing in service innovation and technology development, and are confident in the prospects for the Group."

At 8:13am: (LON:ABZA) Abzena Plc share price was +1.5p at 34p