IDH.L Share News (IDH)

(ShareCast News) - Immunodiagnostic Systems has suffered a difficult start to the year, with revenues in decline as the laboratory testing provider's hopes of an improvement in its markets remain elusive.Since the new financial year began on 1 April under new chief executive Patricio Lacalle, there has been no relenting in the tough conditions seen over the last year, although sales were said to remain in line with full-year revenue guidance of £39-42m issued in May.Group revenues in the first quarter tumbled 15% compared to the same period last year, with underlining revenues down 21% when excluding September 2014 acquisition Diametra.At 30 June, cash and cash equivalents stood at £24m, up from the £23.7m at year end."The start to FY 2016 was challenging, continuing the negative momentum at the end of our last financial year," said chairman Burkhard Wittek in a statement released on the day of the company's annual shareholder meeting.The automated business has seen a sales decline of 15% mainly driven by continuing pressure on automated vitamin D tests from the "Big four workhorse suppliers".The remainder of the automated product range decreased by 6% year-on-year, mainly driven by competition from product specialists.Manual diagnostic assays continued their decline at a rate of 30% year-on-year, excluding Diametra.Wittek said activities to increase the sales resources devoted to the manual assays business were being set up, with a plan to combine the manual assay programs of IDS and Diametra into an enlarged, more attractive catalogue.He concluded: "Currently IDS is facing a lot of challenges, but we believe we have addressed a good deal of those and are working hard to return the business to stability, and long-term profitable growth."Shares in IDH were down 6.8% to 270p by 1015 BST on Tuesday.