LONDON (Alliance News) - Source BioScience PLC on Thursday said it has made significant progress since last June, particularly within its Laboratory Services division, but noted its Products business had continued to be hit by reduced demand.
In a statement ahead of its annual general meeting, the company said it was trading ahead of a year earlier with the momentum seen in 2015 carrying into 2016.
Following the acquisition of Select Pharma Laboratories Ltd in August, Source BioScience said it has progressed with the integration and new infrastructure projects to increase capacity, flexibility and breadth of the analytical chemistry and microbiology offering within its Laboratory Services division.
New analytical chemistry laboratories are being commissioned in Rochdale, near Manchester, Source BioScience said, initiating the roll-out programme for analytical testing across its stability storage facilities.
Source BioScience said it has also commenced its GBP1.2 million infrastructure investment project in Livingston, Scotland, to create a bespoke 12,000 square feet analytical chemistry, microbiology and stability storage facility. Employees from the existing site in Stirling will transition across to the new facility during 2016, the company said, noting that it is looking to recruit an additional 20 laboratory technicians and laboratory scientists to join the current 50-strong team.
Meanwhile, in its Clinical Products division, the introduction of human papilloma virus testing into the NHS Cervical Screening Programme continues to negatively impact volumes and revenue in this part of the business. The HPV vaccine is used for cervical cancer.
Source BioScience said the demand seen to date during 2016 is less than 50% of the demand seen during the peak achieved in 2012.
Shares in Source BioScience were untraded on Wednesday, having last traded at 17.02 pence.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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