The chairman of Manchester-based molecular diagnostics firm Yourgene Health plc told the firm’s AGM on Tuesday the company is enjoying record business activity levels in genomic services — including its UK Covid-19 testing service — and has a growing pipeline of opportunities in genomic technologies, especially in North American.
Chairman Adam Reynolds said the combination is expected to deliver first half-year revenues to September 30, 2021, of at least £15 million compared to £8.2 million in the first half of the prior year and full year 2020-21 revenues of £18.3 million.
Reynolds told the meeting: “Despite the eventful backdrop since our last AGM and as described in our recent results announcement, the business has enjoyed improved momentum and evolved its service offering significantly within both of our Genomic Services and Genomic Technologies business segments.
“The company now finds itself at a very exciting juncture with record business activity levels in Genomic Services, including our UK COVID-19 testing service, and a growing pipeline of opportunities in Genomic Technologies, especially in the North American market where travel is now thankfully reopening.
“The combination of these growth drivers is expected to deliver first half-year revenues to 30 September 2021 of at least £15m. This compares favourably to the first half in the prior year of £8.2m and full year 2020-21 revenues of £18.3m.
“The reopening of UK-US travel is a very welcome development.
“It allows Yourgene’s UK-based capabilities to be more fully deployed to assist our growing North American team, as they develop their partnerships with leading diagnostic majors and build on the recently announced contract wins in March and June 2021.
“The acquisition of Coastal Genomics in August 2020 has proven a catalyst for these partnerships and we look forward to working with our Canadian colleagues on a face-to-face basis for the first time in the coming months.
“The Ranger sample preparation technology acquired with Coastal continues to be an important differentiator in helping to support our North American new business development.
“No-one can be sure of the trajectory for PCR COVID testing, as witnessed by recent news on changing UK travel protocols, but currently PCR testing remains the gold standard and Yourgene’s participation in domestic testing through the National Microbiology Framework and private channels give us an outstanding position to participate fully in this important national endeavour.
“We are now operating at our previously announced capacity of 100,000 tests per month and have now doubled that capacity in anticipation of continued growth in sample numbers.
“Our long-term strategy remains to build an international molecular diagnostics business of scale, and we have plans to redeploy COVID-generated funds into further enhancing our core Genomic Service and Genomic Technology business streams.
“We are maintaining a conservative approach to forecast guidance regarding COVID testing and other revenue, but will provide further updates as appropriate, as the second half progresses.”