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The Markets
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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Pharma & Biotech

EKF Diagnostics set for market-beating result

Shares in EKF Diagnostics Holdings PLC jumped 13% at the end of the week as it told investors it was confident of achieving market forecast beating revenues and earnings for 2016.

Shares in EKF Diagnostics Holdings PLC (LON:EKF) jumped 13% at the end of the week as it told investors it was confident of achieving market forecast beating revenues and earnings for 2016.

In an unscheduled release, the group said trading in the third quarter was "materially" higher than budget and at a run-rate in excess of market forecasts.

Cash generation has been strong, while the net debt position has improved and it now expects to be cash positive within the next 12 months, the Wales-headquartered healthcare firm added.

Revenue and EBITDA is now expected to exceed the high end of market forecasts, namely £43.9mln and £5.2mln, respectively.

Numis analyst Paul Cuddon noted that EKF shares trade at 2.2 times' enterprise value to sales and will need to continue this trajectory into 2017 to be considered as "safely out of recovery mode".

Shares leapt up 12.82% to 16.5p.

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