Boldon's Immundiagnostic Systems say revenues will fall below current expectations

Unfavourable exchange rates and a low level of placements has hampered the firm, but it remains optimistic on progress of its five year strategic plan

Immunodiagnostic Systems
Immunodiagnostic Systems

Boldon-based Immunodiagnostic Systems (IDS) Holdings PLC expects revenues to fall below current expectations, citing unfavourable exchange rates and a low level of placements.

The AIM-listed firm, which develops biochemical test technologies for use in clinical and research laboratories, said it did not expect placement rates to pick up in the short term.

Revenues for the year ending March 31, 2015 are expected to be in the range of £45m-£47m as the firm said unfavourable exchange rate movements were creating a “headwind” for reported numbers.

IDS remained hopeful that a number of undisclosed commercial opportunities, on which it was working, would provide a boost in revenue - but did not factor them into forecasts due to unpredictability of success and timing.

The firm said it continued to make good progress in its expansion into Brazil and China.

Ramping up of the group’s R&D activities and improved efficiency of its manufacturing operations were also noted in the trading up date.

Last week IDS announced its acquisition of Italian operation Dia.Metra S.r.l.which it said would provide access to a range of steroid hormone manual assays and a well invested manufacturing and development facility.

Last month the firm received clearance from the Chinese authorities to sell its test kit systems to the Chinese market.

IDS has appointed Beijing Leadman Biochemistry Technology Co as distributor for its revolutionary IDS-iSYS product, an automated testing kit which can diagnose a range of diseases within hours.

Patrik Dahlen, chief executive officer, said: “We are committed to the delivery of our strategic plan and believe that we have put in place a number of the key building blocks in order to execute it.

“We can accelerate our strategy through the acquisition of complementary diagnostic groups and intellectual property which will introduce new growth areas and ultimately return IDS to long-term sustainable growth.”

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