VITAMIN testing kit company Immunodiagnostic Systems (IDS) today reported a drop in sales and profits in what it said was a competitive market.
The Boldon-based company, which is best known for its vitamin D tests, revealed a 13% dip in revenues to £23.8m for the six months to September 30 while pre-tax profits dropped by 26% to £6.3m.
However, the company, which had issued a profits warning in September, said revenues from its flagship IDS-iSYS machine increased by 4% but income from the manual testing kits was done by 17% to £14.6m.
Chief executive Patrik Dahlen said: “During the first half IDS increased its gross margin and remained strongly cash generative despite the expected pressure on revenues from the competitive vitamin D market.
“We have made progress in transferring our customers from manual to automated assays and are seeing an encouraging response to the three new assays launched in the period.
"We continue to expect full year revenues in the range of £48m to £50m and with costs under control we are comfortable with current market expectations for the full year.
“Overall, we believe that we have the technology, the strategy and balance sheet to cement our position as a leading developer of specialist assays in small to medium niche markets."