TIDMBVXP 
 
Bioventix plc 
                        ("Bioventix" or the "Company") 
 
      Unaudited Interim Results for the six months ended 31 December 2020 
 
Bioventix plc (BVXP), a UK company specialising in the development and 
commercial supply of high-affinity monoclonal antibodies for applications in 
clinical diagnostics, announces its unaudited interim results for the six-month 
period ended 31 December 2020. 
 
Highlights 
 
·       Revenue up 1.3% to £5.2 million (2019: £5.1 million) 
 
·       Profit before tax down 9% to £3.7 million (2019: £4.1 million) 
 
·       Closing cash balances up £0.3 million to £5.8 million 
 
·       First interim dividend up 20% to 43p per share (2019: 36p) 
 
CHAIRMAN AND CHIEF EXECUTIVE'S STATEMENT 
 
Business review 
 
The continuing global pandemic has, without doubt, affected the activity within 
diagnostic pathways in hospitals and clinics around the world to which our 
business is intrinsically linked. Not only have medical care resources been 
diverted to cope with COVID-19 patients but, even where capacity remains, there 
is ongoing evidence that patients are choosing not to present to healthcare 
professionals or not to enter diagnostic pathways. We are therefore relatively 
pleased to announce our unaudited interim results for the six-month period 
ended 31 December 2020 in which our revenues for the half-year of £5.2 million 
(2019: £5.1 million) were maintained at a similar level to those for the same 
period of the previous year. 
 
Total profits before tax for the half-year decreased by 9% to £3.7 million 
(2019: £4.1 million), most of the reduction being created by exchange 
rate-related charges of £0.27m. The cash balances at 31 December 2020 also 
remained at a very similar level, finishing the period up by £0.3 million at £ 
5.8 million. 
 
As reported previously, vitamin D antibody sales were not expected to match the 
growth rates seen in recent financial years and a plateau in the downstream 
global vitamin D assay market had been anticipated. The very modest growth seen 
was perhaps better than could have been anticipated. 
 
Our antibodies for thyroid disease diagnostics (T3) and others for fertility 
diagnostics (estradiol, progesterone and testosterone) form part of routine 
diagnostics for chronic conditions which are often not life-threatening. We 
believe that such diagnostic tests have experienced lower volumes in pandemic 
affected areas and this has had a small impact on our own revenues. 
 
Sales relating to troponin antibodies grew significantly once again during the 
period. The continued roll-out of high sensitivity troponin tests provides 
further encouragement for our future sales in this area. 
 
Our research activities continue in line with the plans described in the 2020 
annual report. Whilst we will report further on these various projects with our 
full year results, we are particularly pleased with the development of our 
pollution exposure assay. We hope to have a prototype urine lateral flow test 
featuring in a field trial at a UK industrial site later in 2021. The intention 
is to measure and upload the lateral flow test results directly to health and 
safety operatives at the site through a phone-app camera reader system. 
 
Regarding the use of SMAs to mitigate against the effect of biotin vitamin 
supplements on certain blood tests, we sent samples of "blocker" antibodies to 
customers late in 2020. We have received early positive feedback on the 
performance of these blockers from some customers. During 2021, we will 
continue to receive feedback and consider further the possible commercial 
development of these blockers where bulk manufacture at low cost will be 
important. 
 
In December 2020, we sent samples of THC (the active ingredient in cannabis or 
marijuana) antibodies to a few selected customers who are interested in 
improving their THC lateral flow assays for saliva. The early feedback from 
these customers has been encouraging and we expect to gather more feedback 
during the year. 
 
With the exception of COVID-19, the overall context of the business and the 
landscape in which we operate has not materially changed since the 2020 annual 
report and we draw the attention of any new shareholders to this report. 
 
We have continued with the development of our Farnham laboratory. The work on 
our manufacturing facilities and technology development laboratory has been 
completed and we are now fully operational. The last remaining phase of the 
development work (cost £70k) is due to start imminently. 
 
Bioventix has demonstrated that it is a resilient business and, notwithstanding 
our comments regarding the impact of the COVID-19 pandemic, our plan is to 
continue to follow our established dividend policy. For the period under 
review, the Board is pleased to announce a first interim dividend of 43p per 
share which represents a 20% increase on last year (36 pence per share). 
 
The shares will be marked ex-dividend on the 8 April 2021 and the dividend will 
be paid on 23 April 2021 to shareholders on the register at close of business 
on 9 April 2021. 
 
In conclusion, we are encouraged by the performance of Bioventix for the 
current half-year and pleased with the continued success of our vitamin D 
antibody and core antibody business. We remain optimistic about our troponin 
revenues and the success of these high sensitivity troponin products around the 
world and we look forward to reporting further progress in the second half of 
the year. 
 
For further information please contact: 
 
Bioventix plc                                                 Tel: 01252 728 001 
Peter Harrison 
Chief Executive Officer 
 
finnCap Ltd                                                   Tel: 020 7220 0500 
Geoff Nash/Simon Hicks - Corporate Finance 
Alice Lane - ECM 
 
About Bioventix plc: 
 
Bioventix (www.bioventix.com) specialises in the development and commercial 
supply of high-affinity monoclonal antibodies with a primary focus on their 
application in clinical diagnostics, such as in automated immunoassays used in 
blood testing. The antibodies created at Bioventix are generated in sheep and 
are of particular benefit where the target is present at low concentration and 
where conventional monoclonal or polyclonal antibodies have failed to produce a 
suitable reagent. Bioventix currently offers a portfolio of antibodies to 
customers for both commercial use and R&D purposes, for the diagnosis or 
monitoring of a broad range of conditions, including heart disease, cancer, 
fertility, thyroid function and drug abuse. Bioventix currently supplies 
antibody products and services to the majority of multinational clinical 
diagnostics companies. Bioventix is based in Farnham, UK and its shares are 
traded on AIM under the symbol BVXP. 
 
This announcement contains inside information for the purposes of Article 7 of 
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law 
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed 
in accordance with the company's obligations under Article 17 of MAR. 
 
 
 
                                 BIOVENTIX PLC 
 
                       STATEMENT OF COMPREHENSIVE INCOME 
                for the six month period ended 31 December 2020 
 
                                                  Unaudited                   Unaudited 
                                                 Six months                  Six months 
                                                      ended                       ended 
                                                     31 Dec                 31 Dec 2019 
                                                       2020 
 
                                                          £                           £ 
 
TURNOVER                                          5,164,733                   5,098,588 
 
Cost of sales                                     (452,689)                   (393,673) 
 
GROSS PROFIT                                      4,712,044                   4,704,915 
 
Administrative expenses                           (688,981)                   (643,819) 
 
Share option charge                               (137,810)                    (67,294) 
 
Difference on foreign exchange                    (195,842)                      80,258 
 
Research & development tax credit adjustment         17,981                       5,369 
 
OPERATING PROFIT                                  3,707,392                   4,079,429 
 
Interest receivable                                  10,587                      17,521 
 
Interest payable                                        (0)                         (0) 
 
PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION     3,717,979                   4,096,950 
 
Tax on profit on ordinary activities              (620,012)                   (669,223) 
 
PROFIT FOR THE FINANCIAL PERIOD                   3,097,967                   3,427,727 
 
Earnings per share for the period: 
 
Basic                                                59.47p                      66.65p 
 
Diluted                                              58.84p                      65.56p 
 
 
 
                                 BIOVENTIX PLC 
 
                        STATEMENT OF FINANCIAL POSITION 
                            as at 31 December 2020 
 
                                                           Unaudited        Unaudited 
                                                          Six Months       Six Months 
                                                               ended            ended 
                                                         31 Dec 2020      31 Dec 2019 
 
                                                                   £                £ 
 
FIXED ASSETS 
 
Tangible fixed assets                                        777,244          718,921 
 
Investments                                                  610,039          579,375 
 
                                                           1,387,283        1,298,296 
 
CURRENT ASSETS 
 
Stocks                                                       225,471          219,007 
 
Debtors                                                    3,747,887        3,348,303 
 
Cash at bank and in hand                                   5,844,455        5,530,539 
 
                                                           9,817,813        9,397,849 
 
CREDITORS: amounts falling due within one year             (839,835)        (940,209) 
 
NET CURRENT ASSETS                                         8,977,978        8,457,640 
 
TOTAL ASSETS LESS CURRENT LIABILITIES                     10,365,261        9,755,936 
 
PROVISIONS FOR LIABILITIES 
 
Deferred Tax                                                  58,134           63,020 
 
NET ASSETS                                                10,307,127        9,692,916 
 
CAPITAL AND RESERVES 
 
Called up share capital                                      260,467          257,034 
 
Share premium account                                      1,332,471          435,908 
 
Capital redemption reserve                                     1,231            1,231 
 
Profit and loss account                                    8,712,958        8,998,643 
 
SHAREHOLDERS' FUNDS                                       10,307,127        9,692,916 
 
 
 
                                 BIOVENTIX PLC 
 
                            STATEMENT OF CASH FLOWS 
                for the six month period ended 31 December 2020 
 
                                                         Unaudited          Unaudited 
                                                       31 Dec 2020        31 Dec 2019 
 
                                                                 £                  £ 
 
CASHFLOW FROM OPERATING ACTIVITIES 
 
Cash flows from operating activities 
 
Profit for the financial year                            3,097,967          3,427,727 
 
Depreciation of tangible fixed assets                       61,858             57,391 
 
Interest received                                         (10,587)           (17,521) 
 
Taxation                                                   264,483            192,597 
 
Decrease / (increase) in stocks                             19,952             20,288 
 
Decrease / (increase) in debtors                          (98,517)            285,612 
 
(Decrease) /increase in creditors                        (127,399)             28,574 
 
Share option charge                                        137,810             67,294 
 
Other tax movements                                       (17,984)            (5,369) 
 
Net cash generated from operating activities             3,327,584          4,056,593 
 
Cash flows from investing activities 
 
Purchase of tangible fixed assets                        (120,607)          (261,492) 
 
Interest received                                           10,587             17,521 
 
Purchase of unlisted and other investments                     (0)          (190,998) 
 
Net cash from investing activities                       (110,020)          (434,969) 
 
Cash flows from financing activities 
 
Issue of ordinary shares                                        74                  0 
 
Movement on share premium account                           20,148                  0 
 
Dividends paid                                         (5,469,800)        (4,628,407) 
 
Interest paid                                                  (0)                (0) 
 
Net cash used in financing activities                  (5,449,578)        (4,628,407) 
 
Cash and cash equivalents at the beginning of the        8,076,468          6,537,322 
year 
 
Cash and cash equivalents at the end of the year         5,844,455          5,530,539 
 
Cash and cash equivalents at the end of the year 
comprise: 
 
Cash at bank and in hand                                 5,884,455          5,530,539 
 
 
 
Notes to the financial information 
 
1.    While the interim financial information has been prepared using the 
company's accounting policies and in accordance with Financial Reporting 
Standard 102, the announcement does not itself contain sufficient information 
to comply with Financial Reporting Standard 102. 
 
2.    This interim financial statement has not been audited or reviewed by the 
auditors. 
 
3.    The accounting policies which were used in the preparation of this 
interim financial information were as follows: 
 
 
3.1       Basis of preparation of financial statements 
 
 
 
The financial statements have been prepared under the historical cost 
convention and in accordance with FRS 102. 
 
 
 
3.2       Revenue 
 
 
·      Turnover is recognised for product supplied or services rendered to 
the extent that it is probable that the economic benefits will flow to the 
Company and the turnover can be reliably measured. Turnover is measured as 
the fair value of the consideration received or receivable, excluding 
discounts, rebates, value added tax and other sales taxes. The following 
criteria determine when turnover will be recognised: 
·      Direct sales are recognised at the date of dispatch. 
·      Subcontracted R & D income is recognised based upon the stage of 
completion at the year end. 
·      Annual licence revenue is recognised, in full, based upon the date 
of the invoice, and royalties are accrued over the period to which they 
relate. Revenue is recognised based on the returns and notifications 
received from customers and in the event that subsequent adjustments are 
identified, they are recognised in the period in which they are identified. 
 
 
 
3.3       Intangible fixed assets and amortisation 
 
 
Goodwill is the difference between amounts paid on the acquisition of a 
business and the fair value of the identifiable assets and liabilities. It 
is amortised to the Profit and loss account over its estimated economic 
life. 
 
 
 
 
 
Amortisation is provided at the following rates: 
 
Goodwill                      Over 10 years 
Know how                    Over 10 years 
 
 
 
3.4       Tangible fixed assets and depreciation 
 
 
Tangible fixed assets are stated at cost less depreciation. Depreciation is 
not charged on freehold land. Depreciation on other tangible fixed assets 
is provided at rates calculated to write off the cost of those assets, less 
their estimated residual value, over their expected useful lives on the 
following bases: 
 
 
 
 
 
Freehold property                     2% straight line 
Plant and equipment                25% reducing balance 
Motor Vehicles                         25% straight line 
Equipment                               25% straight line 
 
 
 
3.5       Valuation of investments 
 
 
 
Investments in unlisted Company shares, whose market value can be reliably 
determined, are remeasured to market value at each balance sheet date. 
Gains and losses on remeasurement are recognised in the Statement of 
comprehensive income for the period. Where market value cannot be reliably 
determined, such investments are stated at historic cost less impairment. 
 
 
 
3.6       Stocks 
 
 
Stocks are stated at the lower of cost and net realisable value, being the 
estimated selling price less costs to complete and sell. Cost includes all 
direct costs and an appropriate proportion of fixed and variable overheads. 
 
 
 
 
 
At each balance sheet date, stocks are assessed for impairment. If stock is 
impaired, the carrying amount is reduced to its selling price less costs to 
complete and sell. The impairment loss is recognised immediately in profit 
or loss. 
 
 
 
3.7       Debtors 
 
 
Short term debtors are measured at transaction price, less any impairment. 
Loans receivable are measured initially at fair value, net of transaction 
costs, and are measured subsequently at amortised cost using the effective 
interest method, less any impairment. 
 
 
 
3.8       Cash and cash equivalents 
 
 
Cash is represented by cash in hand and deposits with financial 
institutions repayable without penalty on notice of not more than 24 hours. 
Cash equivalents are highly liquid investments that mature in no more than 
three months from the date of acquisition and that are readily convertible 
to known amounts of cash with insignificant risk of change in value. 
 
 
 
 
 
In the Statement of cash flows, cash and cash equivalents are shown net of 
bank overdrafts that are repayable on demand and form an integral part of 
the Company's cash management. 
 
 
 
3.9       Financial instruments 
 
 
The Company only enters into basic financial instruments transactions that 
result in the recognition of financial assets and liabilities like trade 
and other debtors and creditors, loans from banks and other third parties, 
loans to related parties and investments in non-puttable ordinary shares. 
 
 
 
3.10      Creditors 
 
 
Short term creditors are measured at the transaction price. Other financial 
liabilities, including bank loans, are measured initially at fair value, 
net of transaction costs, and are measured subsequently at amortised cost 
using the effective interest method. 
 
 
 
3.11      Foreign currency translation 
            Functional and presentation currency 
 
 
The Company's functional and presentational currency is GBP. 
 
 
 
 
 
Transactions and balances 
Foreign currency transactions are translated into the functional currency 
using the spot exchange rates at the dates of the transactions. 
 
 
 
 
 
At each period end foreign currency monetary items are translated using the 
closing rate. Non-monetary items measured at historical cost are translated 
using the exchange rate at the date of the transaction and non-monetary 
items measured at fair value are measured using the exchange rate when fair 
value was determined. 
 
 
 
3.12      Finance costs 
 
 
Finance costs are charged to the Statement of comprehensive income over the 
term of the debt using the effective interest method so that the amount 
charged is at a constant rate on the carrying amount. Issue costs are 
initially recognised as a reduction in the proceeds of the associated 
capital instrument. 
 
 
 
3.13      Dividends 
 
 
Equity dividends are recognised when they become legally payable. Interim 
equity dividends are recognised when paid. Final equity dividends are 
recognised when approved by the shareholders at an annual general meeting. 
Dividends on shares recognised as liabilities are recognised as expenses 
and classified within interest payable. 
 
 
 
3.14      Employee benefits-share-based compensation 
 
 
The company operates an equity-settled, share-based compensation plan. The 
fair value of the employee services received in exchange for the grant of 
the options is recognised as an expense over the vesting period. The total 
amount to be expensed over the vesting period is determined by reference to 
the fair value of the options granted. At each balance sheet date, the 
company will revise its estimates of the number of options are expected to 
be exercisable. It will recognise the impact of the revision of original 
estimates, if any, in the profit and loss account, with a corresponding 
adjustment to equity. The proceeds received net of any directly 
attributable transaction costs are credited to share capital (nominal 
value) and share premium when the options are exercised. 
 
 
 
3.15      Research and development 
 
 
Research and development expenditure is written off in the year in which it 
is incurred. 
 
 
 
3.16      Pensions 
 
 
Defined contribution pension plan 
The Company operates a defined contribution plan for its employees. A 
defined contribution plan is a pension plan under which the Company pays 
fixed contributions into a separate entity. Once the contributions have 
been paid the Company has no further payment obligations. 
 
 
 
 
 
The contributions are recognised as an expense in the Statement of 
comprehensive income when they fall due. Amounts not paid are shown in 
accruals as a liability in the Statement of financial position. The assets 
of the plan are held separately from the Company in independently 
administered funds. 
 
 
 
3.17      Interest income 
 
 
Interest income is recognised in the Statement of comprehensive income 
using the effective interest method. 
 
 
 
3.18      Provisions for liabilities 
 
 
Provisions are made where an event has taken place that gives the Company a 
legal or constructive obligation that probably requires settlement by a 
transfer of economic benefit, and a reliable estimate can be made of the 
amount of the obligation. 
 
 
 
 
 
Provisions are charged as an expense to the Statement of comprehensive 
income in the year that the Company becomes aware of the obligation, and 
are measured at the best estimate at the Statement of financial position 
date of the expenditure required to settle the obligation, taking into 
account relevant risks and uncertainties. 
 
 
 
 
 
When payments are eventually made, they are charged to the provision 
carried in the Statement of financial position. 
 
 
 
3.19      Current and deferred taxation 
 
 
The tax expense for the year comprises current and deferred tax. Tax is 
recognised in the Statement of comprehensive income, except that a charge 
attributable to an item of income and expense recognised as other 
comprehensive income or to an item recognised directly in equity is also 
recognised in other comprehensive income or directly in equity 
respectively. 
 
 
 
 
 
The current income tax charge is calculated on the basis of tax rates and 
laws that have been enacted or substantively enacted by the reporting date 
in the countries where the Company operates and generates income. 
 
 
 
 
 
Deferred tax balances are recognised in respect of all timing differences 
that have originated but not reversed by the Statement of financial 
position date, except that: 
 
 
 
 
 
·      The recognition of deferred tax assets is limited to the extent that 
it is probable that they will be recovered against the reversal of deferred 
tax liabilities or other future taxable profits; and 
·      Any deferred tax balances are reversed if and when all conditions 
for retaining associated tax allowances have been met. 
 
 
 
 
 
Deferred tax balances are not recognised in respect of permanent 
differences except in respect of business combinations, when deferred tax 
is recognised on the differences between the fair values of assets acquired 
and the future tax deductions available for them and the differences 
between the fair values of liabilities acquired and the amount that will be 
assessed for tax. Deferred tax is determined using tax rates and laws that 
have been enacted or substantively enacted by the reporting date. 
 
 
 
 
END 
 
 

(END) Dow Jones Newswires

March 29, 2021 02:00 ET (06:00 GMT)