EKF Diagnostics (EKF) may not pay a dividend, but shareholders didn't finish last year empty-handed. The company listed Renalytix AI – the developer of artificial intelligence-enabled diagnostics for kidney disease – on the Alternative Investment Market (Aim) in November, raising £22.3m. The nearly 21m shares owned by EKF were distributed to shareholders in October and currently have a value of approximately £29.3m. EKF also bought back £940,000-worth of its own shares during the year.
Sales in the haematology business rose 6 per cent to £13.7m, with growth driven by the Hemo Control analyser range – sold in the US under the name HemoPoint H2. What's more, management expects this growth to continue following the US Food and Drug Administration's (FDA) clearance for its DiaSpect point-of-care haemoglobin analyser. Sales from diabetes products fell 5 per cent to £11.5m, due in part to the end of a contract in Saudi Arabia. But this should improve now that the Quo-Test analyser has received the thumbs up from the FDA for professional use in a clinical laboratory setting, paving the way for sales in the US.
Analysts at N+1 Singer expect adjusted pre-tax profits of £8.9m during 2019 giving EPS of 1.4p, compared with £8.7m and 1.4p in 2018.
| EKF DIAGNOSTICS (EKF) | ||||
| ORD PRICE: | 30p | MARKET VALUE: | £ 136m | |
| TOUCH: | 30-31p | 12-MONTH HIGH: | 37p | LOW: 22p |
| DIVIDEND YIELD: | NIL | PE RATIO: | 14 | |
| NET ASSET VALUE: | 14p* | NET CASH: | £9.4m | |
| Year to 31 Dec | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
| 2014 | 37.1 | -3.4 | -1.3 | nil |
| 2015 | 30.0 | -15.8 | -3.3 | nil |
| 2016 | 38.6 | -1.0 | neg | nil |
| 2017 | 41.6 | 4.3 | 0.6 | nil |
| 2018 | 42.5 | 12.2 | 2.2 | nil |
| % change | +2 | +182 | +275 | - |
| Ex-div: | na | |||
| Payment: | na | |||
| *Includes intangible assets of £41.8m, or 9p per share | ||||
