The chief executive of South Tyneside medical testing kit maker Immunodiagnostic Systems Holdings is resigning from the firm “for professional reasons”.
A brief market note has announced how Patrik Dahlen has given notice of his resignation from the company, detailing only that he will remain in post for a period of up to one year “or as may be otherwise agreed”.
Dr Anthony Martin, non-executive chairman, said: “On behalf of the board I would like to thank Patrik sincerely for the contribution he has made to the company.”
Dr Dahlen was a non-executive member of the Boldon firm’s board until take up the reins in July 2012, taking over a week after Ian Cookson left the business by mutual consent with immediate effect.
Danish-born Dr Dahlen, 52, had previously served as chief executive of Dako and at Perkin Elmer through to his progression to president of life sciences.
The boardroom shake-up continued with the announcement that Dr Martin had decided to step down from the board with immediate effect, after three years in post.
The new non-executive chairman was announced as Dr Burkhard Wittek, 60, while Till Bengt Campe, 24, was appointed as a non-executive director.
Both Dr Wittek and Mr Campe are from FORUM European Smallcaps GmbH and FORUM Venture Capital GmbH, who together hold 27.1% of IDS’ share capital.
Dr Wittek said: “As a long term major investor in IDS, I am convinced that the Company has a strong independent future. As such, I am pleased to be taking a more active role with the business as chairman.”
The AIM announcements came as the company, best known for its manual and automatic Vitamin test kits, announced its interim results for the six months to September 30 2014.
Revenues fell by £5.8m compared to the first half of the last financial year, to £22.1m, in line with trading expectations, while adjusted earnings before interest and tax were £3.2m, down from the comparable period’s £5.2m.
The firm’s closing cash and cash equivalents was £22.7m, £4m less than the £26.7m reported on March 31 2014, following the acquisition of Diametra and the payment of the increased dividend.
The firm said the performance was “disappointing” but that progress was being made on the firm’s five-year strategic plan and that the development of its next generation iSYS instrument was going to plan.
Dr Dahlen said: “The last six months have been extremely challenging for IDS.
“The reasons behind this disappointing performance were identified as part of the strategic review undertaken in early 2014 and underline the need to execute our strategic plan and where possible, accelerate its implementation through acquisition.
“Good progress continues to be made on the execution of our strategic plan launched earlier this year in response to a challenging trading environment that looks set to continue in the near term.
“Our strong operational cash flow and solid cash position means we are well placed to continue to execute on our plan.
As previously communicated, the plan entails the expansion of our automated assay menu and the launch of our new automated instrument and we remain confident that these will be the catalysts for sustainable revenue growth going forwards.”