Inspiration Healthcare Group PLC (LON:IHC) chief executive Neil Campbell has said he was “delighted” with the med-tech company’s performance so far this year after it recorded a 27% increase in revenues in the first three months of 2020.
That number does not include contracts to supply the NHS with ventilators announced on March 16 and 20, which are worth an additional £5mln in turnover. They will be accounted for in the second quarter, but even without these “exceptional orders” the company’s new business pipeline “remains strong”.
CEO Campbell noted that Inspiration was positioned well for continued growth, and he added: “The current situation has presented challenges for many companies and it is a tribute to our team, along with our outstanding suppliers, that we are still supplying vital intensive care equipment and the support that goes with its use.
“We look forward to shipping the ventilators we have orders for to the NHS and to the rest of the year with confidence."
The AIM-listed group usually focuses on neonatal and perinatal equipment but has switched during the coronavirus crisis to meet the need for additional ventilators.
Inspiration is part of the UK government’s ventilator challenge consortium.
The shares rose 8% to 66p. Broker Cenkos reiterated its 'buy' advice with these comments: “Our estimates indicate double-digit revenue growth and margin improvement in full-year 2021, with scope for upside to these forecasts based on performance and the NHS orders.
“Ongoing internal investments in disruptive technologies and regulatory support functions provide a solid foundation for future growth and further business development including selective acquisitions.”
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