Fusion Antibodies Share News (FAB)

(Sharecast News) - Fusion Antibodies said on Thursday that it expects a stronger performance in the second half of the year after reporting first-half revenues of £0.84m, as operational efficiency improved and market sentiment began to recover.

The AIM-traded antibody discovery and engineering specialist said unaudited revenue for the six months ended 30 September was down from £1.2m a year earlier but represented a solid increase from £755,000 in the second half of the prior year.

Gross margins rose to 30% from 22%, reflecting improved efficiency and value creation.

Cash at the end of September stood at £0.25m, in line with management expectations.

Chairman Simon Douglas said the company expects an "even stronger performance in the second half, supported by our robust existing order book, promising sales opportunities pipeline and better market sentiment."

During the period, Fusion secured a key milestone with the grant of a US patent covering its 'OptiMAL' library design and method.

The company continued its collaboration with the US National Cancer Institute, which it said has demonstrated strong performance of the OptiMAL platform and led to an expanded commitment to use it in future antibody discovery projects.

Fusion also announced a series of new contract wins, including a stable cell line development project for a US-based biotech company and multiple antibody humanisation contracts with major pharmaceutical groups.

Douglas said investor and stakeholder engagement had "significantly strengthened" through presentations in London and Belfast and further development of the company's online investor hub.

He added that Fusion remained on track with its strategic goals, including the planned launch of OptiMAL in December, which "will herald a new stage in the company's development and open up new markets and revenues."

At 1537 BST, shares in Fusion Antibodies were up 5.66% at 14p.

Reporting by Josh White for Sharecast.com.