(Alliance News) - Fusion Antibodies PLC on Monday said it expects annual revenue to be significantly below expectations as a result of continued uncertainty in the timings of orders.
Shares were down 33% to 32.00 pence on Monday morning in London.
In its half-year report in early December, Fusion said it had been experiencing a "commercially challenging" first six months of trading. It explained this was due to a combination of factors, including a number of its projects being suspended by clients as a result of delayed investment.
On Monday, Fusion said there continues to be uncertainty of the timing of several anticipated orders, adding such matters were out of its control.
Consequently, Fusion said revenue and earnings in the financial year ending March 31 are expected to now be "significantly" below current market expectations, with annual revenue seen at no less than GBP2.8 million.
The company pointed to negotiations regarding a significant order for an integrated service contract, in particular, which has not materialised in time for the end of this year. It said that, while there is a possibility the negotiations could be completed in the near-term, the majority of the revenue would now be recognisable in financial 2024.
Fusion said that it has engaged several potential clients for a broader service offering as part of its strategic change to focus on larger integrated service contracts. This has been "very positively received", it said.
Fusion Antibodies is a contract research organisation providing discovery, design and optimisation services for therapeutic antibodies to the healthcare market. It is based in Belfast.
By Heather Rydings, Alliance News senior economics reporter
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Fusion Antibody (FAB)