RE: Fantastic day tomorrow27 Sep 2023 11:02
N the financial year to 31 December 2021, Launch Diagnostics generated revenues related to sales of products for COVID-19 testing and products unrelated to COVID-19. Launch Diagnostics’ core, non-COVID-19 revenues were £14.17 million and total revenues were £32.75 million with total Adjusted EBITDA of £8.52 million[3] and a profit before tax of £9.36 million. As of 31 December 2021, Launch Diagnostics had net assets of £17.0 million. Launch Diagnostics’ FY21 revenues were geographically split between the UK and France and the Benelux region, with the former accounting for £23.85 million and the latter £8.9 million.
During FY20 and FY21, Launch Diagnostics’ revenue growth was driven primarily by its COVID-19 testing products and, whilst these revenues have been discounted by 80% in Avacta’s valuation of the business, the Company believes there is still potential for some sustainable ongoing COVID test revenues from symptomatic testing in hospitals. During the past two years, the focus on COVID-19 testing saw Launch Diagnostics’ sales of non-COVID-19 products fall from £18.51 million in FY19 to £14.17 million in FY21, but this business is now increasing as customers return to normal purchasing cycles.