IXICO Pre-Close Trading Update Year Ended 30 September 2016
IXICO plc (Ticker: IXI) (‘IXICO’ or the ‘Company’), the brain health company, today provides the following pre-close trading update ahead of its preliminary results for the year ended 30 September 2016.
The Company is pleased to report revenues for the year of c.£3.1 million (2015: £3.1 million) and other income of £0.7 million, giving total income of £3.8 million for the year (2015: £4.2 million). Revenues were in line with the prior year and reflected the start-up of seven new clinical trials including five Alzheimer’sDisease studies, one in progressive supranuclear palsy (“PSP”) and a first contract in Parkinson’s Disease with Oxford Biomedica. The project start-up activities included the US$7 million long term contract with a leading pharmaceutical company announced in August 2015.
The timing of the revenue recognition from these contracts is based on services provided over the term of the project, with peak activity during the data collection and analysis stages. As these new projects ramp up they will make a material contribution to revenue from the current financial year onwards.
Revenues in the year were further characterised by a changing sales mix including a contribution by Biogen towards the development of Assessa® PML, a tailored product from our Assessa® digital platform, to support the early detection of Progressive Multifocal Leukoencephalopathy (“PML”), a potentially fatal side effect of certain drug treatments for Multiple Sclerosis. Assessa® PML is in the beta testing phase and an important part of the Company’s digital strategy.
The Company has a strong balance sheet following the £2.7 million equity placing in November 2015. Net cash at 30 September 2016 was £3.1 million (2015: £1.9 million) representing a modest reduction from the net cash of £3.2 million at 31 March 2016. Second half cash inflows included grant reimbursement and R&D tax credits.
Post year end, IXICO signed a first contract worth US$1.2 million with a new global pharmaceutical customer for advanced imaging clinical trial services in PSP. This is in line with the Company’s strategy to broaden the application of the Assessa® digital platform to support both the development of novel therapies and the management of patients and treatment decisions in the clinic.
The Company anticipates that its audited results to 30 September 2016 will be announced in December 2016.
For further information please contact:
Derek Hill, Chief Executive Officer
Susan Lowther, Chief Financial Officer
Tel: +44 20 3763 7499
Shore Capital (Nomad and Broker)
Bidhi Bhoma /Edward Mansfield
Tel: +44 20 7408 4090
FTI Consulting Limited (Investor Relations)
Simon Conway/Mo Noonan/Matthew Moss
Tel: +44 20 3727 1000
IXICO's innovative and proprietary digital healthcare technologies help those involved in researching and treating serious diseases to capture and analyse clinical data to make rapid, informed decisions. In clinical research this includes the phenotyping of patients, quantification of disease pathology and measurement of patient outcomes. In clinical practice the mobile health and digital decision support technologies aid diagnosis, patient engagement and monitoring. IXICO is also collaborating with partners to develop companion digital health products targeted at improving patient outcomes.
The Company's brain health focus includes Alzheimer's disease, Huntington's disease, multiple sclerosis, Parkinson's disease, behavioural health, child and adolescent mental health.
More information is available on www.ixico.com.