‘Disappointing performance’ for listed biotech firm
AIM-listed biotech firm Benchmark Holdings has accelerated the disposal and discontinuation of its non-core activities, as its latest full year results feature a £73.3m loss before tax from continuing operations.
The full year figures for the financial year ended 30 September 2019 also include revenues from continuing operations of £127.3m, which are three per cent below prior year (2018: £131.6m).
Total revenues, including continuing and discontinued operations, are £148.7m, down two per cent (2018: £151.5m).
The company’s current trading update explains: “Weakness in the shrimp and sea bass/bream markets continues and while some recovery is expected it is unlikely to recover to 2018 levels in 2020.
“The outlook in the salmon market remains positive.”
Peter George, executive chairman of the Sheffield-based aquaculture health, nutrition and genetics business, said: “I am disappointed to be reporting results that are below those expected at the beginning of the financial year, due largely to poor market conditions affecting our largest division, Advanced Nutrition.
“Following the management changes announced in August, the company has accelerated its programme of efficiencies including the disposal and exit from non-core businesses and the implementation of a cost saving plan.
“The Board has reviewed the Group’s forecast for the period to September 2021 and concluded that, while there is uncertainty surrounding the timing and value of proceeds from the disposal of discontinued operations and other trading sensitivities, the Group should be able to continue to operate as a going concern.
“This is subject to successful completion of those disposals or by implementing mitigating actions that significantly reduce the investment and costs related to the product pipeline or by further finance being sought.”
