Oxford's NIOX Group looking ahead with confidence after first half results
Oxford-based medtech company NIOX Group is looking ahead with confidence after posting robust first half results.
In the six months to June 30, the company which is behind the NIOX VERO device to diagnose and manage asthma, reported revenue of £18.8 million, up from £15.5 million in the first half of 2022.
Clinical revenues grew to £16.7 million in the six months, compared to £13 million in the year-earlier period, while 90% of clinical revenue was from recurring test kit sales.
READ MORE: NIOX Group sees strong growth in core clinical business in first half
The company said it was continuing to implement a growth strategy that will raise the awareness of the benefits of testing and improve the availability of its device worldwide.
It is also exploring its use in the home, its availability in pharmacies and workplaces.
Ian Johnson, NIOX's executive chairman, told investors: "The group has performed well in the first half of the year with good growth in revenue and profits.
"Cash generation remained strong with net cash at the half year of £23.8 million, up from £19.4 million at the end of 2022. Our strong cash generation permitted the payment of a special dividend of 2.5p per share earlier this month and we expect to propose a final dividend for the 2023 year at the time of our full year results next March.
"The group is now in a strong financial position to deploy its cash resources to invest in creating further demand for its products and in developing next generation devices, including a home-use device," he added.
Johnson said trading this July and August had been "in line" with management expectations and the company "remained confident" of achieving management expectations for the full year, which were significantly upgraded in July, and in prospects for 2024 and beyond.
The group added that it has started developing its new NIOX Pro device and that development costs in this year would be around £0.2 million.
The aggregate development costs of the NIOX Pro, including tooling, should not exceed £2 million, it added, with the bulk of these costs being incurred in 2024.
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