Ergomed earnings boosted by 'significant' profit growth in second half

Pharmaceutical services provider Ergomed said Thursday annual earnings were expected to meet market expectations on the back of cost cuts and a 'significant' turnaround in profits seen in the second half.

Net Service fee revenues for 2018 were expected to be approximately £46.5m, up from £39.6m, in line with current market expectations, the company said.

Growth in both pharmacovigilance and CRO was anticipated to be broadly in line with expectations.

New business sales rose to £76m for the year, from £54m a year earlier, bolstering the Ergomed's order book. The backlog of orders at the end of 2018 was expected to be approximately £106m, up from £88m a year earlier.

'Based on our contracted backlog and re-aligned cost base, I am optimistic we can deliver our 2019 growth targets,' said Dr Miroslav Reljanovic, Executive Chairman of Ergomed.

At 10:07am: (LON:ERGO) Ergomed Plc share price was +2.5p at 175p