Inspiration Healthcare PLC (LON:IHC) has said its work sourcing ventilators for the NHS and health services elsewhere around the world is offsetting any business disruption from the coronavirus (COVID-19) pandemic.
The AIM-listed group usually focuses on neo-and perinatal equipment but has switched during the coronavirus crisis to meet the need for additional ventilators.
Inspiration is part of the UK government’s ventilator challenge consortium and received a £4mln order in March from the NHS.
The comments came as the firm posted results for the year to end-January which came in ahead of expectations, helped by the acquisition of manufacturing business Viomedix.
Revenues rose by 15% to £17.8mln, while underlying profits were up 29% to £2.1mln.
Neil Campbell, Inspiration’s chief executive said it was a very successful year with progress on all three of the major elements of its strategy: Double-digit revenue growth, the advancement of Project Wave (a new respiratory support technology), and completion of the acquisition of Viomedex.
In its core business, Inspiration said that as most of its branded products are sold to neonatal intensive care units around the world, their use is not something that can be reduced by election or choice.
As a result, it said demand for the group’s own branded products should continue during the period of the COVID-19 virus outbreak and beyond.
House broker Cenkos added that even with the general virus uncertainty, it is comfortable with its forecasts for the current year (£2.8mln underlying profits).
“While there are obvious current risks which could have negative short-term operational impacts, recent significant NHS contract awards and pandemic-related activities are expected to at least offset any negative impact.”
The broker added that IHC has no debt and £4.5mln in cash.
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