Open Orphan PLC (AIM:ORPH, OTC:OPORF) said it is on track to post record revenues this year as it exited the first half in a solid financial position.
The contract research group expects its turnover to hit £50mln, up from £39mln in the previous year, which is in line with market expectations.
This is based on a record order book of £80mln - business that is set to be recognised over the next three years.
At the same time, the company's EBITDA margin is growing and is expected to be in the range of 13%-15% over the long term.
For the six months ended June 30, 2022, Open Orphan posted sales of £18.9mln, down year-on-year from £23.2mln. However, given the guidance, activity will be back-end loaded.
An improvement to the profit margin meant the group, which specialises in testing vaccines and antivirals, meant that it delivered a 10% rise in EBITDA to £2.3mln. Cash at the start of September was around £20mln, the equivalent to just under a third of its market capitalisation.
In a separate announcement, investors were told that the company would be called hVIVO, taking the name of its main operating subsidiary and reflecting its focus on human challenge and clinical services. The change will be effective from October 26, 2022.