SourceBio sees 'considerable growth' in FY revenues, EBITDA
Laboratory services and products provider SourceBio said on Monday that full-year results would be in line with market expectations after it recorded "considerable growth" in both revenues and underlying earnings year-on-year.
SourceBio expects to report revenues of approximately £50.7m for 2020, more than double the £21.2m recorded in 2019, while adjusted underlying earnings for the year ended 31 December was approximately £14.0m, an almost fivefold increase on 2019.
The AIM-listed group added that following careful working capital management, its cash position was also "well ahead of market expectations" with cash at 31 December 2020 of £8.4m and also noted that it had eliminated all outstanding bank and shareholder borrowings.
SourceBio also stated trading had started strongly in 2021 but said it was anticipating reduced demand for its Cellular Pathology testing services into the new year as a result of the UK's third national lockdown.
Chairman Jay LeCoque said: "I am pleased to report to shareholders significant revenue growth with dramatically increased profitability in an extremely busy year for SourceBio, that included a successful AIM listing in October.
"The results have been dominated by robust Covid-19 testing services and, given the impact of the Covid-19 pandemic, the board remains pleased with performance across all areas of the business. The company remains strongly capitalised with a loan-free balance sheet which positions us well to deliver further aggressive growth in 2021."
As of 1020 GMT, SourceBio shares were up 1.37% at 222.0p.