Proactive Investors - Run By Investors For Investors

Instem upbeat after solid year

Chief executive Phil Reason told investors: "With increasing momentum in the business from recent contract wins and the growing pipeline, we are confident about the outlook for the Group for 2019 and beyond."
researcher filling a vial
The company has developed and sells software used by pharma and biotech companies making clinical and pre-clinical filings to international regulators

Instem PLC (LON:INS.L) chief executive Phil Reason said the software group will continue to focus on organic growth after a solid year, though it will also consider “complementary acquisition targets”. 

His comments were made alongside the publication of full-year results, which showed turnover grew 8% to £22.7mln; around a quarter of that number came in the form of higher-margin, recurring software-as-a-service (SaaS) revenues.

Underlying earnings (EBITDA) for the 12 months to December 31 grew by around 70% to £4.1mln, underlining the operational gearing of the business. Reported profit before tax was £1.7mln, up from £300,000 a year earlier.

Importantly for a company in growth mode, Instem had £3.6mln in the bank, up £500,000 on a year ago.

The company has developed and sells software used by pharma and biotech companies making clinical and pre-clinical filings to international regulators.

Contract wins

In the year just gone, it won contracts worth more than £1mln each for its SEND outsourced service from two top-five global contract research organisations.

At the same time, a Fortune 500 business has adopted its Samarind RMS solution, and it has signed up 500 additional Provantis users.

Reason told investors: "With increasing momentum in the business from recent contract wins and the growing pipeline, we are confident about the outlook for the Group for 2019 and beyond.

"While our strategy remains focused on Instem's organic revenue growth, expanding operational gearing and improving positive cash flow, management will continue to consider complementary acquisition targets to further develop our position as a market leading provider of IT solutions to the global life sciences market."

View full INS profile View Profile

Instem PLC Timeline

Newswire
April 11 2019
Article
April 01 2019

Related Articles

Background check
May 13 2019
The company provides background check and medical screening solutions for employers to give them reliable information when hiring new staff.
StatPro Revolution
May 24 2019
On 20 May the company secured a three-year contract extension for its Revolution platform from a top 20 fund administrator carrying a price tag of at least £2.44mln
lock
October 18 2018
Managed services revenue jumped 52% in the first half of 2018 with the order book standing at £2.4mln.

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use