IXICO PLC (LSE:IXI, OTC:PHYOF, FRA:PYPB), the neuroscience imaging and analytics group, has secured £1.3 million of new contract work that its broker says should take the company's order book close to full coverage of its current-year revenue forecast.
The two wins, an Alzheimer's disease biomarker validation contract and an extension to an existing phase II Huntington's disease clinical trial, were announced earlier on Wednesday.
Cavendish, which acts as corporate broker and has a buy rating and 26p target price on the stock, said the contracts should significantly close the remaining gap in IXICO's order book, which already covered 95% of its £7.5 million revenue estimate for the year to September 2026.
The Alzheimer's contract will see IXICO provide brain imaging analytics to validate a new blood-based biomarker test for a global diagnostics company, with the work intended to support FDA regulatory clearance.
Cavendish noted that analytical work of this type can typically be delivered over a shorter timeframe than clinical trial contracts and tends to generate higher margins for the company.
The Huntington's extension adds three new analysis approaches to an existing client's phase II study, highlighting the strength of IXICO's client relationships.
Contract extensions are a significant source of revenue for the company, accounting for £6 million of the £12.6 million in total contract wins achieved in the 12 months to March 2026.
Cavendish said the wins exemplify IXICO's growth strategy of deepening its exposure within the Alzheimer's opportunity while maintaining leadership in Huntington's disease and supporting the progression of novel therapies towards later-stage clinical development, where contracts tend to be larger and more valuable.
The broker forecasts revenue growth of 15% to £7.5 million in the current year, accelerating to 20% the following year, with gross margins expected to expand from 48.7% to 50%.
IXICO remains loss-making as it invests in its platform and marketing capabilities, with an adjusted pre-tax loss of £2.4 million forecast for the current year.
The company held estimated net cash of £10.8 million following an April fundraise, giving it a comfortable runway.
Cavendish said that while recent share price appreciation has improved IXICO's valuation, the shares remain attractive given the company's growth potential, with its 26p target implying upside of more than 200% from the current price of 8.5p.