EKF revenue to beat expectations

Point-of-care business EKF Diagnostics reported in the final quarter of the year to 31 December 2016 that its overall performance will exceed revised market forecasts.

The forecasts were upgraded following a trading update on 7 November.

The company achieved revenues in excess of £38m (compared to previous guidance of 'at least £36.5m') for the year.

Adjusted EBITDA exceeded £5.5m (compared to previous guidance of 'at least £5.5m').

The strong performance during the final quarter was due to organic growth.

In addition, EKF reported strong cash generation and was net cash positive by the year end.

It said it expects to remain cash positive in the first quarter of the 2017 financial year.

EKF used some of the cash generated during the final quarter to reduce its debt position by approximately £1.6m.

At 12:14pm: (LON:EKF) EKF Diagnostics Holdings PLC share price was +1.13p at 18.25p