25th Aug 2015 07:58
LONDON (Alliance News) - Source BioScience PLC Tuesday posted a rise in pretax profit for its first half, boosted by an improvement in margin, and said its performance to date is in line with its expectations for 2015.
The company posted a pretax profit of GBP1.2 million for the half year to end-June, up from GBP853,000 a year before, as revenue was broadly flat at GBP12.8 million, but this was offset by lower operating expenses, and gross margin increased to 49% from 47%.
In its Laboratory Services segment revenue rose 9% to GBP6.8 million from GBP6.2 million, which offset an 8% decline from its Products division to GBP6.1 million from GBP6.6 million which was primarily caused by an expected reduction in the number of liquid based cytology tests being undertaken by the NHS Cervical Screening Programme.
Source BioScience acquired Select Pharma Laboratories Ltd for up to GBP7.3 million in cash last Monday, which it said will drive significant international expansion of its bioanalytical and regulatory services business.
"For the rest of the year our focus remains simple: to drive sales growth through our various platforms and successfully integrate the recently acquired Select business to leverage the evident cross-selling opportunities. Although it is still early days, we are experiencing a positive response to the expanded offering of the group and we are pleased with the performance to date which is in line with our expectations for the full year," said Chairman Laurie Turnbull in a statement.
Shares in Source were up 0.8% at 16.12 pence Tuesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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