Genedrive PLC (LON:GDR) said it looked at the remainder of the financial year with optimism considering the contract with Beckman Coulter Life Sciences and the ongoing opportunity with the ministry of health of a European country.
The cooperation agreement with Beckman moved to a commercial distribution deal in Europe and the US last month, with the first purchases from the US firm amounting to US$400,000 (£293,000).
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The potential partnership with the European health ministry, meanwhile, could bring in low double-digit millions of pounds in revenue if successful.
The diagnostics firm is focusing on larger commercial opportunities in the COVID-19 space and expect progression from this strategy in the coming months, alongside progress with the commercialisation of the hearing loss test for babies (AIHL), the contract with the US Department of Defense (DoD) and the hepatitis C assay (HCV).
It said it has taken steps to accelerate the potential of AIHL and the DoD and also expect near-term revenue contribution from these areas.
The AIM-listed company noted it is confident there will be a place in the market for a fast accurate and deployable solution for PCR testing, despite the commercialisation of the 96 SARS-COV 2 Kit has been slower than anticipated due to delays in regulatory approvals.
It is still waiting news from the World Health Organization and the US Food and Drug Administration but the timing is uncertain.
“Much of our focus has shifted away from low- and middle-income markets to more western markets with DoD, AIHL, and COVID, driven by the market dynamics and restrictions of travel,” said chief executive David Budd in a release.
“These markets however work under standard commercial terms and cycles, and offer more predictable, and often higher margin commercial opportunities, and we anticipate this focus will remain for the foreseeable future.”
In the six months to December 31, total revenue and other income came in at £400,000, from £600,000 the year before, because pandemic headwinds affected HCV and DoD commercial operations.
Operating loss was £2.9mln from £2.6mln the year before, while research and development spend stayed flat at £2.3mln. Cash at March 15 was £2.8mln with R&D tax credit of £1mln still owing.