Ixico set to report first-half loss as legacy issues unwind

Medical imaging analytics specialist Ixico reported first-half revenue of £3.2m in a trading update on Wednesday, down from £3.9m in the first six months of the 2022 financial year.

The AIM-traded firm said its contracted order book as at 31 March totalled £13.3m, however, which was an increase from the prior year's £12.6m.

Ixico said it maintained a strong cash balance of £5m as at 31 March, while it remained debt-free and operating cash generative.

The company said it expected to report a loss before interest, tax, depreciation, and amortisation of £0.6m for the first half, swinging from a profit of £0.5m in the same period last year.

The board reaffirmed its market guidance for the full year, and Ixico’s return to revenue growth in 2024.

It said 2023 would be the final period to reflect the negative impact of the large HD-trial cessations announced on 23 March 2021 and 20 January 2022, with revenues now increasingly driven by recently-contracted trials across a broader range of therapeutic areas.

“The rebuilding of our order book is a priority as we look to benefit from investments we are making in our commercial capabilities to support our pipeline of opportunities and address the demand for our specialist AI neuroimaging analytical services,” said chief executive officer Giulio Cerroni.

“The combination of our diversified order book, near term opportunities and a commitment to being at the forefront of AI-based imaging biomarker analysis, mean we are well placed to deliver double digit revenue growth across the second half of 2023 as compared to the first half, providing the foundation for further growth across 2024 and beyond.”

Ixico said it would release its first-half results on 23 May.

At 1208 BST, shares in Ixico were down 3.38% at 18.6p.

Reporting by Josh White for Sharecast.com.