Optibiotix Health PLC saw a jump in full year profits and revenues and said it is confident of delivering ''growing value for our shareholders'' despite the war in Ukraine and global inflationary pressures.
The life sciences business reported a 27.7% increase in gross profit to £1.1mln for the 12 months ended 31 December 2021 on revenue of £2.2mln, a jump of 45.3% on the previous year.
The Prebiotic business increased sales by 59.3% to £1.1m with underlying sales (excluding milestone fees) growing by 122%, a statement said.
Both the Probiotic and Prebiotic trading businesses were profitable at EBITDA level, generating EBITDA of £179,000 and £13,000 respectively
The healthcare brand had approximately £2 million of cash at the end of 2021 and delivered £6.3mln in net profit.
Net earnings for the year represented a basic profit of 7.15p per share.
In response, analysts at Cenkos reiterated a 'buy' recommendation on the stock and said Optibiotix has “continued to return value to shareholders through the successful spin-out and listing of its ProBiotix Health division”.
"Future growth of the company is supported by commercial agreements with large partners and a substantial pipeline of opportunities through its 2nd generation development programmes, analyst Edward Jinks wrote in a note to investors.
Jinks maintained his "conservative forecasts" for FY22, saying OptiBiotix is well positioned to outperform these forecasts, having signed several contracts with large commercial partners during 2021 and post-period end, including the launch of a new product with The Hut Group’s Myprotein brand.