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Abcam gets China momentum, but a group revamp costs

The company sees double-digit revenue growth but a fall in pre-tax profit as it embarks on a new chapter
March 8, 2016

A fall in pre-tax profit is not what we have come to expect from Abcam (ABC), the global supplier of proteins and antibodies for diagnostic and research purposes. But the group has begun a new phase of growth, with a focus on consumer-led expansion. This has resulted in an increased investment in people, technologies, and businesses. Administration and management expenses of £26.7m, from £20.7m in the same period last year, weighed on the bottom line.

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Turnover was beefed up by a meteoric 52 per cent rise in Chinese sales on a constant-currency basis, which chief executive Alan Hirzel says "even took us by surprise". The group has targeted the country as a key growth market, given its growing importance in scientific research. Antibody sales also performed ahead of expectations, with revenue from the group's rabbit antibody products and other products up 32 per cent.

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