LONDON (Alliance News) - Immunodiagnostic Systems Holdings PLC on Tuesday said that near-term trading remains "challenging", as it forecast revenue in the second half of its current year to be slightly below the first half.
However, the company said it has a "clear path" to growth, and expects to have "the first tangible results" from this path "before the end of the current financial year".
Immunodiagnostic provides testing services and medical diagnostic products. For its first half to end-September, the company expects revenue of around GBP19 million, down from the GBP22.1 million it reported the year before.
Within this automated revenues fell 12% compared to the previous year, hit by continued pressure on its automated vitamin D 25 OH product, which it said "faces continuing pressure from the large workhorse suppliers". Manual revenues fell 16% compared to the previous year, although they were slightly boosted by the company's acquisition of Diametra, and excluding this acquisition revenue would have declined 33%.
Immunodiagnostic said it is reviewing its cost base, and expects the first effects of this review to be visible in its second half. Its new IDS-iSYS Mark II instrument has received CE marketing, and it expects to launc this product in the EU in the first half of 2016.
"The near-term trading environment for IDS remains challenging with the company's forecasts now indicating revenues for the second half of the current year slightly below those achieved in the first half. We have defined a clear path to get back to growth based on the expansion of our assay menu, the expansion into additional geographic markets and improving sales excellence. It has been less than a year since the company embarked on this clear path, and we are confident that we will have the first tangible results before the end of the current financial year," said Chief Executive Officer Patricio Lacalle in a statement.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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