Cambridge Cognition Holdings PLC (LON:COG), the specialist developer of computerised tests for detection and monitoring of neuropsychological disorders, today announced a trading update for the year ending 31 December 2017.
The number of Pharmaceutical Clinical Trials and Academic Research contracts secured in the year, now combined in a single product group, has increased by 18% when compared to the prior year. This reflects the sales strategy implemented at the start of the year to focus on securing smaller earlier staged studies to build a strong pipeline of sales opportunities for future years. The Company continues to grow its Services revenue as outlined in the interim results to improve the overall revenue mix.
The Company had expected to sign two large contracts with a combined value of approximately £2.3m in the last quarter of the year, and whilst the contracts are at an advanced stage, they are now expected to commence in the first half of 2018. Consequently, revenue for the full year to 31 December 2017 is expected to be marginally below the £6.9m reported in 2016 with the sales order pipeline value as at 1 January 2018 up 56% on the prior year. The Company now expects to be broadly break even for the year at the EBITDA line (before share based payment charges).
Cash balances at year end are expected to be approximately £1.9m (2016: £2.4m), which provides sufficient financial resources to implement the next phase of the Company’s strategic plan.
The preliminary results for the year ended 31 December 2017 will be released on 22nd March 2018.
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.