Alan Hirzel certainly hasn't been sitting on his hands in his first year as Abcam (ABC) chief executive - the company has already made progress with its multi-pronged strategy. It has acquired businesses, including molecular technology company Firefly BioWorks, which should help grow its market share. Meanwhile, turnover growth continues apace, with revenue on a constant currency basis rising 14.2 per cent. That compares with 8.6 per cent in the previous year and weaker underlying market growth of roughly 4 per cent.
The company's rabMAb technology, where it provides cloned rabbit antibodies, saw revenue rise 24.2 per cent - well above the 15 to 20 per cent target for the reported period. Abcam provides 1,811 such antibodies to allow scientists to focus on their research, often in areas including cancer treatments and immune deficiency disorders. Elsewhere, its non-primary antibody products registered a 28.2 per cent rise in revenue, at the upper end of its 25 to 30 per cent target.
The company will have to do without its chief financial officer, Jeff Iliffe, whose departure comes after a raft of senior management changes to add expertise including a chief digital officer.
House broker Peel Hunt expects adjusted pre-tax profit of £52.3m and EPS of 20.2p for the 2016 financial year, compared with £49.6m and 19.8p in 2015.
| ABCAM (ABC) | ||||
|---|---|---|---|---|
| ORD PRICE: | 590p | MARKET VALUE: | £1.2bn | |
| TOUCH: | 588.5-590p | 12-MONTH HIGH: | 615p | LOW: 356p |
| DIVIDEND YIELD: | 1% | PE RATIO: | 32 | |
| NET ASSET VALUE: | 107p* | NET CASH: | £59m | |
| Year to 30 Jun | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2011 | 83 | 32.1 | 13.2 | 5.25 |
| 2012 | 98 | 34.7 | 13.7 | 6.05 |
| 2013 | 122 | 42.9 | 16.5 | 7.04 |
| 2014 | 128 | 43.6 | 17.1 | 7.75 |
| 2015 | 144 | 46.1 | 18.7 | 8.21 |
| % change | +13 | +6 | +9 | +6 |
Ex-div: 12 Nov Payment: 4 Dec *Includes £132m of intangible assets, or 66p a share | ||||
