22nd Jul 2019 09:15
(Alliance News) - Abcam PLC said Monday full year revenue jumped and margins improved amid ongoing growth opportunities for the antibody maker and retailer, whilst its finance chief prepares to leave the firm.
For the year ended June, Abcam forecast revenue to jump 11% to GBP259.9 million from GBP233.2 million the year prior. On a constant-currency basis, revenue is forecast 9.2% higher.
Underlying the growth, Catalogue revenue - contributing 93% of total revenue - grew 12% on a reported and 9.8% on a constant currency basis after all regions and categories saw growth. In particular, Chinese revenue grew over a fifth.
Custom Products & Licensing - which contributes the remaining revenue - grew 4.7% on a reported and 0.4% on a constant currency basis. This was after declines in Custom Products revenue offset growth in the Licensing unit.
Abcam anticipates gross margin to be "ahead" of the 69.9% reported the year prior. Adjusted earnings before interest, taxes, depreciation and amortisation margin is expected in line with company expectations.
The AIM-listed firm added it was currently reviewing its plans for the next five years, with details to be published with its full year results on September 9. The firm said, however, it "sees significant opportunity to further grow the organisation organically through a programme of internally funded investments."
"Life science research and biopharmaceutical customers globally once again showed their trust in Abcam to help them achieve their research mission," Abcam Chief Executive Officer Alan Hirzel said. "This trust made it possible for our business to expand our market leadership and achieve our strategic goals."
"The prospects for Abcam remain strong and with our focus on customers, we are confident that our investments in growth are aligned to creating long-term value for all of our stakeholders", Hirzel added.
In a separate announcement on Monday, Chief Financial Officer Gavin Wood intends to resign over the next year in order to move closer to his family home.
Wood - finance chief since 2016 - announced his intention to over the next 12 months "in order to continue his career closer to his family home", Abcam said in a statement.
Abcam has begun the search for a replacement with Wood "committed" to providing an orderly transition with his successor.
"Gavin will leave our business stronger than when he started three years ago through his work in improving the finance function," Abcam Chief Executive Officer Alan Hirzel said.
"He has been a generous colleague with an unwavering commitment to Abcam's mission to serve scientists," Hirzel added. "I wish Gavin every success with the family and professional opportunities that await him."
Shares in Abcam were 8.8% lower at 1,282.00 pence in London on Monday.
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