Cardiff firm reported to be trading within expectations

EKF Diagnostics Holdings, an AIM-listed global diagnostics business based in Cardiff reports that their trading in the first half of 2023 is in line with board’s expectations. 

The company’s H1 2023 revenues from continuing operations were £26.3m compared to £34.4m adjusted in the same period last year.

When any revenue made during Covid is removed, their H1 2023 delivered £25.4m of revenues from continuing operations compared to £22.7m in 2022. 

As outlined in the 17 May 2023 AGM statement, the company said it expects its overall financial performance this year to be more H2-weighted than historically.

The company said it expects that improvements in adjusted EBITDA margin will begin to be seen in the second half, resulting in the expected H2 weighting for full year adjusted EBITDA. 

Its estimated that the rest of 2023 will also benefit from the effect of cost savings implemented in the first half over the full six months. 

Then anticipated in FY 2023 are the full, annualised benefits of margin improvements, particularly from the higher margin contribution from Life Sciences once additional capacity comes online and utilisation increases over the year.

Julian Baines (pictured above), executive chair of EKF, said: “We’re pleased with a solid first half performance, particularly given that 2023 remains very much a transitional year as we maintain our focus on continued steady growth from our Point-of-Care division and the expansion of our Life Sciences business. 

The full effect of the improvements we’ve put in place, and the increased revenues from our new Life Sciences capacity are expected to have a more beneficial effect on 2024 trading and we remain very excited about the longer-term, significant growth prospects for the business.”

EKF expects to announce its unaudited results for H1 2023 on 26 September 2023, when it will provide further updates on current trading and the outlook for 2023 and beyond.