Novacyt Announces Half Year Trading Update for 2024

Novacyt S.A., a molecular diagnostics company, reported an unaudited revenue of approximately £10.3 million for the first half of 2024, compared to £3.3 million in the same period of 2023. Significant contributions came from Yourgene Health, acquired recently. The Group’s cash position as of 30 June 2024 was £32.9 million, and it remains debt-free.

Novacyt showed notable growth in Reproductive Health, witnessing a 34% increase, and Non-invasive prenatal testing (NIPT) with a 5% rise. The company's settlement with the DHSC resulted in a £5 million payment and a potential VAT refund claim of £12.2 million.

Commercially, the company experienced growth due to the strong uptake of its cystic fibrosis portfolio in Australia and the transition of NIPT customers to in-house laboratories. Novacyt continues to pursue synergies from the Yourgene acquisition and expects to reduce its annual cost base by £5 million by the end of 2024.

The company's Ranger® technology remains integral, with new opportunities being explored. A co-marketing agreement with Pacific Biosciences hopes to expand sales pipelines. Additionally, a new PCR workflow for detecting norovirus in oysters was launched in June.

In regulatory updates, Yourgene's Cystic Fibrosis Base was submitted for IVDR review. Furthermore, Yourgene obtained a Human Tissue Authority Licence, broadening its Genomic Services. The Group also anticipates disposing of its Taiwanese laboratory business shortly.