Novacyt FY revenues surge on demand for Covid-19 products

Clinical diagnostics firm Novacyt said on Friday that full-year revenues had surged in 2020, driven by the continued successful global commercialisation of its Covid-19 product portfolio.

Novacyt stated full-year revenues had grown more than 20 times from €13.1m to €311.6m, with fourth-quarter revenue hitting €239.2m.

Underlying earnings were projected to be above €210.0m as gross margins for the full-year exceeded 80%.

Novacyt also highlighted that its cash position on 31 December was €101.0m, a marked improvement on the €1.8m reported a year earlier.

While the AIM-listed group stated it had experienced a "strong start" to 2021, with demand for its Covid-19 product portfolio remaining strong, it also cautioned that it was "difficult" to provide a clear forecast on the financial performance for the full year.

Chief executive Graham Mullis said: "2020 has been transformational for Novacyt. We have cemented our early mover advantage of developing one of the first tests for Covid-19 into an established position within Covid-19 testing and the broader diagnostics market.

"We have signed significant contracts with national governments, supplied our products to over 130 countries globally and continue d to develop innovative testing capabilities to support laboratories and clinicians during these challenging times."

As of 0940 GMT, Novacyt shares were down 6.54% at 998.46p.