Abcam share price nosedives despite strong interims
Abcam’s UK stock took a hammering – down 140.16p (10.46 per cent) at the time of writing – despite an excellent first half.
Shareholders were seemingly spooked by the life science research tools provider’s statement that full year constant currency revenue growth would be broadly in line with the first half.
The share fall defied logic as Abcam, which has just moved into its new global headquarters at the Cambridge Biomedical Campus, posted double digit growth – ahead of underlying market rates – for the six months to December 31.
On top of total revenue growth of 10.8 per cent to £124,7 million, Abcam has also ring-fenced a war chest in anticipation of fresh acquisition opportunities.
Abcam reported catalogue revenue growth of 11.2 per cent on a reported basis to £117m and recombinant and immunoassay product revenues up 21.4 per cent. The interim dividend was increased to 3.55 pence (H1 2018: 3.42 pence).
CEO Alan Hirzel said: “We made further progress toward achieving our long-term goals in the first half of the year and delivered double digit revenue growth whilst meeting our strategic targets.
“These results arise from our global team dedicating themselves to serving customer needs whilst building a strong enterprise. Together, they are helping Abcam increase its influence across research, diagnostic and therapeutic applications.
“We continue to invest in building a sustainable, profitable business with purpose and look forward to the impact that work will have on scientific knowledge and human health.”