StockMarketWire.com - Pharmaceutical services provider Ergomed reported a wider loss for the year as the writedown of its Haemostatix business offset a strong performance in its services segment.

For 2019, pre-tax losses widened to £10.77 from £4.45m a year earlier, while revenue increased 15% to £54.1m.

Exceptional costs rose £8.5m from £0.14m driven mainly by writedown of the Haemostatix business of £18.2m following the shift in strategy away from Co-Development and Haemostatix.

Adjusted earnings (EBITDA) rose 11% to £2.3m.

Overall it was a strong year within the services businesses, with new business won rising 35% to £73m, the company said.

During the current year, the company expected to continue to deliver on our strategy of focusing on the growth and profitability of our services businesses, and to increasingly benefit from the opportunities for cross-selling to customers across the Group, particularly in pharmacovigilance and orphan drug development.

'2018 saw us continue to deliver strong top-line growth and work hard to deliver a significantly improved financial performance in the second half,' said Dr Miroslav Reljanović, Executive Chairman of Ergomed.

'We are fully committed to our services strategy and confident in the opportunities for our pharmacovigilance business and in our orphan drug development emphasis. With our backlog at more than £109 million and the full benefits of the 2018 cost reduction programme, we believe we are well positioned to build on these foundations.'






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