Shares in MyHealthChecked PLC (AIM:MHC), the consumer home-testing healthcare firm, fell 27% following its latest trading update.
The company reported first-half revenues of £2.5 million, a significant drop from £9.8 million in the comparable period last year, largely due to reduced demand for Covid tests.
While there was a surge in Covid testing volumes in late July 2023, the company anticipates a continued decline in demand for the year.
Despite a healthy cash balance of £5 million, investors appear cautious about the slow-burn nature of MyHealthChecked's partnership with Boots, the UK's largest pharmacy chain.
The collaboration, which launched an extended range of at-home self-testing products, is still in its early stages and efforts to boost public awareness and product uptake are ongoing.
CEO Penny McCormick told investors: "It is always challenging to pioneer a major new category of products in the wellness testing market, however, our long-term outlook remains positive as we continue to support our retail partner in their commercial strategy to meet customers' needs for at-home testing."
At 9.23 am, the shares were changing hands for 11.35p, down 4.15p.