RUA Life Sciences reports 86% revenue growth and positive EBITDA in FY25 update
() , a holding company of 4 medical device businesses exploiting the implantable polymer Elast-Eon, issued a trading update for the 12 months to March 31, 2025 (FY25).
posted substantial YoY revenue growth for the 12-month period to £4.1m, up from £2.2m in FY24. The 86% surge in turnover was attributed to strong trading in the underlying business combined with the acquisition of Abiss Group, completed in September 2024.
Royalties from biomaterials increased 19% over the period from £496k to £586k, while sales of medical devices and components jumped 106% from £1.7m to £3.5m. Original contract manufacturing revenues grew by 32%, rising from £1.7m to £2.2m, with the Abiss acquisition contributing an additional £1.3m to group revenues.
managed to keep costs down in FY25, with a 22% reduction in LFL costs (excluding Abiss costs) down to £3.0m from £3.8m LY. Including costs within Abiss, total group costs reduced 3% to £3.7m. Cash and cash eq was £3.7m at period-end, down slightly from £3.9m LY, with a significantly reduced cash utilisation from the £1.5m used in FY24.
The group expects an EBITDA of £0.3m, a significant turnaround from the £1.6m EBITDA loss reported in the same period last year.
View from Vox
A highly positive trading update from , detailing significant growth in its contract manufacturing business and the successful acquisition of Abiss. Investors welcomed the news, sending shares 6% higher in early trade on April 24, 2025.
There is significant further upside as continues to develop and exploit its businesses' polymer technology IP. The group's pipeline of opportunities continues to grow, with the standout prospect being a project that combines its textiles expertise with Elast-Eon to develop an novel device for a global client. also noted that Abiss' order backlog at the time of its acquisition had been fully cleared by period-end.
On the biomaterials side, the 19% growth registered in FY24 is expected to continue, with prospects for increased royalties from existing licensees, together with potential near-term new licenses for Elast-Eon in new therapeutic areas under discussion with a major device manufacturer.
In terms of IP development, 's recent R&D has shown promise in creating a fibre reinforced material that is flexible enough to operate as a heart valve leaflet. Characterisation work is nearing completion to provide data for a large valve company.
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