Physiomics reports fall in operating loss, rise in turnover

UK biology company Physiomics said operating loss dropped 6.3 per cent in the last half of 2012 as the group signed on new clients and progressed in research and development of products.

Operating loss came to £307,685, compared to £328,674 for the same period a year ago, as turnover increased 52.9% to £52,000.

The firm said it signed on a "top five" global pharmaceutical client during the period and was in discussions with others about licencing technology and entering into long-term contracts.

A £4.0m Standby Equity Distribution Agreement was signed with Yorkville, strengthening the position of the company for future growth and acquisition.

Physiomics advanced in developing two new technologies - DrugCARD database and Cardiac toxicity prediction service - which will be launched this year.

First stage of development of the group's Virtual Tumour Clinical, a computer model which analyses tumour cells, is underway as the company works closely with drug discovery and development groups.

"Significant progress has been made during the half year," the group said.

"The customer base has been increased, relationships with existing customers are progressing, new products are soon to come on line and the company's flagship Virtual Tumour Clinical project has begun in earnest, with large pharma already showing an interest in assisting its development.

"While progress on the sales front has been slower than the directors hoped, they believe that the company is establishing the level of credibility required to convert more prospects and is well positioned to deliver more stable sales in the near-term. Successful launch of Virtual Tumour Clinical has the potential to achieve a step-change in growth of revenues."

Shares rose 8.33% to 0.13 at 09:44 Thursday.

RD