Ixico raises expectations on new contract wins

(Sharecast News) - Medical imaging advanced analytics technology company Ixico said in a trading update on Wednesday that it expected its financial performance to surpass market expectations, driven by new contract wins totaling £5.8m since 31 March.

The AIM-traded firm said that for the 12 months ending 30 September, it anticipated full-year revenue to be between £5.5m and £5.9m.

That reflected at least a 20% growth in revenue during the second half of the year, compared to the first half, which recorded £2.5m in revenue.

Despite a slight decline from the £6.7m revenue reported in 2023, the strong performance in the second-half was expected to boost overall financial results.

Additionally, the company's year-end order book was forecast to increase and return to prior year-end levels, recovering from £12.7m at the end of the first half to around £14.8m, following recent contract signings and extensions.

The positive developments were expected to improve Ixico's cash position and reduce its EBITDA loss compared to current market expectations, which projected £1.4m in cash and a £2.1m EBITDA loss.

"I am pleased with the progress made by the Company since the half-year, with new contracts signed underpinning revenue growth across the second half of the year," said chief executive officer Giulio Cerroni.

"In parallel, we have continued to see a strengthening of our opportunities pipeline and whilst we maintain a very close eye on costs, we are doing so in a manner that avoids detriment to our core focus of delivering growth."

At 1203 BST, shares in Ixico were up 33.33% at 9.5p.

Reporting by Josh White for Sharecast.com.