- Collagen Solutions said it expected revenue for the year ended 31 March to be £4.1m compared with £3.2m in 2016.

It said around £3.95m of the 2017 figure was trading revenue, which represented 26% growth.

The group this growth had been driven by an increase in the number of customers, higher volumes from key customers and an increase in new development agreements.

An update saidf: "In particular, the company has seen its pericardium tissue business grow by 30% resulting in a specific initiative to diversify and increase its tissue supply base in Australia and New Zealand to meet the additional demand.

"Investments in the company's commercial organisation have also begun to show results, with the team delivering nine new supply, development and distribution agreements during the financial year, including the recently announced Smart Matrix deal.

"These should provide future recurring revenues, as customers transition from development to full launch supply.

"Due to long sales cycles and timing of appointments to the new sales team, the majority of these agreements were closed in the second half of the year.

"Consequently, these agreements did not contribute materially to the 2016 revenue growth."

Chief executive Jamal Rushdy said: "We are on track with the commercial plans for our core business.

"The investment that we have made in the commercial team is showing results and we are starting to see improved volume, value, and pace of origination in our pipeline of opportunities. We are also seeking to capitalise on the greater demand for pericardium that we are seeing and have implemented the appropriate operational focus to ensure we can support expected growth in this segment as well."

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