IXICO PLC (LON:IXI) said that its largest pharma customer has communicated that it will stop dosing participants in its phase III trial and open-label extension studies in Huntington's disease.
The decision followed an independent committee review of the potential benefit/risk profile for study participants, IXICO said.
Revenues from these trials are a material component of data specialist IXICO's contracted revenues across the current financial year, it said, and also future financial years to 2024.
As a result, there is a likelihood that the customer's decision will negatively impact IXICO's financial performance across this period.
IXICO added it has asked for clarification about which these trials will be affected, and which will continue unaffected.
If there is no further work this would hit revenues by £2.7mln for the remaining period of the current year to September 2021 and by around £5mln in 2021/2022.
Excluding all potential revenues from this trial, IXICO still maintains a strong contracted order book totalling over £12mln plus other opportunities.