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(Sharecast News) - RUA Life Sciences narrowed its first-half post-tax loss to 203,000 from 635,000, it reported on Tuesday, as revenue rose 6.1% to 2.75m and adjusted EBITDA swung to a 76,000 profit from a 227,000 loss.
The AIM-traded medical device and biomaterials group said gross margin improved to 74.9% from 73.5%, while administrative expenses fell 6.2% to 2.31m.
Revenue in medical devices and components was broadly flat at 2.25m, as UK contract development work offset weaker Abiss France demand, while biomaterials revenue rose to 490,000 from 349,000, helped by royalty underpayments identified through audits.
Cash at 31 March stood at 2.37m, down from 3.25m at the September year-end, reflecting working capital movements that RUA expects to reverse by year-end.
Chairman Geoff Berg said the group had been transformed into a profitable contract manufacturer, with its core biomaterials and medical devices activities expected to move the business into net profitability in the second half, while the post-period RUA Structural Heart spin-out provided additional upside.
At 1006 BST, shares in RUA Life Sciences were up 9.86% at 19.5p.
Reporting by Josh White for Sharecast.com.
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