31st Jan 2019 14:41
LONDON (Alliance News) - Ergomed PLC on Thursday reported a 17% increase in revenue for 2018 and expressed confidence in delivering its growth targets in the year ahead.
Ergomed, which helps pharmaceutical companies to develop new drugs, said it expects revenue, generated from service fees, to total GBP46.5 million in the year to the end of December 2018. In 2017, revenue from service fees was GBP39.6 million.
Ergomed said its order book remains robust, and it is expecting that the backlog at the end of 2018 will be GBP106 million, up 21% from GBP88 million the year before.
In terms of profitability, the second half of the year has seen strong operational performance, the company said. As a result, Ergomed expects 2018 adjusted earnings before interest, taxes, depreciation, and amortization to be in line with market expectations, helped by the cost reduction programme implemented by management.
"We have worked hard to deliver significantly improved results in the second half in 2018," said Executive Chair Miroslav Reljanovic.
"Based on our contracted backlog and re-aligned cost base, I am optimistic we can deliver our 2019 growth targets," added Reljanovic.
Ergomed shares were trading 1.2% lower on Thursday at 170.50 pence each.
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