LONDON (Alliance News) - Collagen Solutions PLC said Tuesday it expects interim revenue to increase by 13% as new contracts closed in the first half "more than offset" project delays.
Collagen Solutions makes medical-grade collagen biomaterials for use in research, medical devices and regenerative medicine
For the six months ended September, the company said it expects revenue to increase to GBP2.1 million compared to GBP1.9 million a year prior, boosted by new development agreements closed in the first quarter, which counteracted the impact of delays in customer projects and inventory adjustments.
In the first half, Collagen Solutions won nine new customers, up from eight a year prior, with the average value of each contract also increased.
Chief Executive Officer Jamal Rushdy said: "We remain on track to meet our key initiatives for the year including achieving our commercial execution plans and financial performance objectives in line with market expectations."
From an operational point of view, the company said it is pleased with its New Zealand restructuring initiative which is delivering the "expected synergies and benefits" planned, with the New Zealand team now fully focused on the tissue business.
Collagen Solutions will post its interim results for the six months to September on December 4.
Shares were trading down 3.2% at 3.0 pence.