LONDON (Alliance News) - Epistem Holdings PLC said Thursday its pretax loss widened in the first half of its financial year on increased investment its its point-of-care device Genedrive and soft sales in its other businesses.
Shares in Epistem were down 18% at 78.00 pence on Thursday.
Epistem, the molecular diagnostics, personal medicine and biotechnology firm, said pretax loss came in at GBP3.6 million for the six months to December 31, from GBP2.2 million the same period the previous year, after sales were down to GBP2.0 million from GBP2.2 million and discovery and development costs rose to GBP1.3 million from GBP895,000.
Epistem said it ramped up investment in its Genedrive platform, ahead of the launch of its Genedrive tuberculosis test in India in April, which accounted for the increased costs, whilst revenue in its personalised medicine division fell to GBP1.0 million from GBP1.2 million, as it focused on its Genedrive launch.
Epistem said, whilst it was "disappointed that preparations for the launch of Genedrive have extended into the second half of the financial year", it expects to register sales of Genedrive units and tests in India in the second half of the year, following full launch training with its distribution partner Xcelris Labs Ltd in the middle of April.
It said its focus will remain on progressing the commercialisation of the Genedrive tuberculosis test in the second half, but added it also anticipates improved revenue from its preclinical and personalised medicine businesses.
Epistem said it is currently in discussions regarding a proposed placing of shares, to ensure it has the necessary funding to progress its Genedrive product.
"These interim results cover a period of major change and progress for Epistem. This period of preparation for the launch of our TB test in India represents a step change in the activities and prospects for your company," said Chairman Ian Gilham.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
Copyright 2016 Alliance News Limited. All Rights Reserved.