Abingdon Health looks set to report FY underlying loss

Abingdon Health warned on Tuesday that it looked set to post a full-year underlying loss despite stating it had continued to make progress on commercialising its AbC-19TM rapid test in the UK private sector and internationally.

The AIM-listed group said it was encouraged by ongoing commercial discussions, whilst progressing the required regulatory approvals, and would continue to advance its Tier-1 order pipeline, as outlined at the time of the interim results.

Abingdon stated its pipeline of opportunities also continued to grow and highlighted that it was building its AbC-19TM rapid test stock in order to quickly satisfy demand as orders can be confirmed.

However, although Abingdon said the opportunities and its pipeline both continued to grow, the speed of adoption and the receipt of orders was taking longer than it had originally anticipated, meaning 2021 full-year results were now on track to be "substantially below" current market expectations.

Given the level of uncertainty on the timing of AbC-19TM orders and subsequent delivery, Abingdon now anticipates revenues to be in the range of £11.4m to £17.0m, with an adjusted underlying performance between a loss of £3.3m and break-even.

"At the lower end of the revenue range this would represent revenue more than doubling, with growth of 119% compared with the prior year; and excluding any DHSC revenues in either year, this would represent revenue growth of 132%, highlighting the underlying revenue growth that the Board expects in the company's non-Covid sales in FY21," said Abingdon.

As of 0950 BST, Abingdon shares had slumped 27.64% to 58.25p.