London-based research and testing firm, hVIVO, has expressed confidence in meeting its revenue and profitability targets for the full year. The company witnessed a significant boost in earnings in the first half of the year, driven by high demand for its testing and trials.
Impressive Financial Performance
hVIVO reported a remarkable increase in revenue of over 50% in the first six months, reaching £27.3 million ($35.1 million). The earnings margin before interest, taxes, depreciation, and amortization (EBITDA) also saw a substantial rise of over six points compared to the same period last year, now standing at 19%.
Robust Outlook for the Full Year
Despite potential delays in U.K. clinical trial approvals, hVIVO maintains its outlook of achieving £53 million in revenue for the full year. The company also expects an EBITDA margin in the mid-to-high teens. hVIVO anticipates that any impact on revenue will be immaterial.
Strong Orderbook and Growth Prospects
hVIVO’s orderbook as of June 30 reached £78 million, marking an 11% increase from the previous year. This diversified orderbook spans across various clients and regions, providing a solid foundation for future growth.
Enhanced Prospects with New Influenza B Human Challenge Model
The company’s weighted contracted orderbook has seen further growth since June, boosted by the recent announcement of their new Influenza B human challenge model. CEO Yamin ‘Mo’ Khan stated that this record visibility of revenue extending well into the second half of 2024 gives hVIVO a strong basis for future trading.