NEW YORK (GenomeWeb) – Horizon Discovery today reported a nearly 19 percent increase in revenues for the first half of 2016 on strong gains in product sales.
For the six-month period ended June 30, Horizon's revenues climbed to £10.2 million ($13.2 million) from £8.6 million in the same period last year. Contributing to the growth was a 62 percent rise in products business revenues to £4.8 million from £3 million, which helped offset a £200,000 decline in service revenues to £5.2 million amid lower molecular screening revenues.
The company noted that it temporarily reduced its operating capacity in order to consolidate its screening operations from its soon-to-be-closed Boston facility to its new UK headquarters. The restructuring, which is slated to conclude by year end, is expected to save the company at least £5 million in 2017.
Horizon's net loss in the period fell to £6 million, or 6.4p per share, from £6.6 million, or 7.9p a share, the year before.
R&D spending grew to £2.4 million from £2.2 million, while sales and marketing costs rose to £2.7 million from £2.0 million, and corporate expenses increased to £4.4 million from £5 million.
At the end of June, Horizon had cash totaling £13 million.
"Since our IPO in 2014, Horizon has made strategic investments to build an optimal business model for exploiting our technology platforms and achieve our strategic goal of becoming EBITDA positive in 2017, and sustainably profitable thereafter," Horizon CEO Darrin Disley said in a statement.