LONDON (Alliance News) - Immunodiagnostic Systems Holdings PLC Wednesday reported a swing to a loss for its most recently ended financial year, as it booked hefty impairment charges in what it called a "year of transition".
The medical diagnostic products company said that it had "continued to suffer from the downward momentum" of its underlying business, but had laid the foundations for a recovery, although these are "not yet visible in the numbers".
For the year to end-March the company reported a pretax loss of GBP37.0 million, swung from a pretax profit GBP3.3 million, mostly as a result of hefty impairment charges of GBP38.2 million, and revenue falling to GBP38.3 million from GBP45.4 million.
US revenues fell 15%, hit by declines in Immunodiagnostic's manual and automated business, and in Europe, revenue fell 13%. The company said that it had continued to lose business for its automated 25-OH Vitamin D product as larger laboratories continue to migrate tests previously run on its IDS iSYS analyser to high-throughput analysers.
In the year ahead it plans to make many changes in its organisation, and expects declines to slow down as the actions it has taken come into effect.
Despite reporting a swing to a loss, Immunodiagnostic proposed a final and total dividend of 1.2 pence per share, down from 3.0 pence the previous year.
"IDS is going through a profound and exciting transformation process. As we continue to lose commodity business to the big players we are building and expanding our speciality portfolio. It is taking longer than expected, but it is happening continuously and we are gaining momentum in the change process. Our teams understand the necessity for change across all functions and the need to adapt our cost structures. We strive towards actively engaging our internal talents as well as complementing our skills with talent from the outside," said Chief Executive Officer Patricio Lacalle in a statement.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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