Diaceutics (DXRX) H2 2025 earnings summary

Executive summary

• Achieved 20% revenue growth (24% at constant currency) in FY2025, reaching GBP 38.4 million, with a three-year CAGR of 25%, despite challenging US pharma market conditions.

• Returned to profitability with adjusted EBITDA up 80% to GBP 7.6 million and a 20% margin.

• Record order book of GBP 38.9 million and ARR of GBP 20 million at year-end provide strong visibility for 2026.

• Strengthened strategic position with 10 enterprise-wide pharma engagements, 95 brands, and 53 customers, including two additional top 10 global pharma customers.

• Advanced Precision for All strategy, broadening addressable market beyond oncology to renal and cardiovascular disease, and accelerated data processing with AI enhancements.

Financial highlights

• Revenue reached GBP 38.4 million, up 20% year-over-year (24% at constant currency), with ARR up 19% to GBP 20 million.

• Adjusted EBITDA margin improved to 20% from 13% in 2024, with adjusted EBITDA of GBP 7.6 million, up from GBP 4.2 million.

• Gross profit margin declined from 87% to 82% due to GBP 2 million data spend expensed through COGS.

• Profit before tax was GBP 300,000, compared to a GBP 1.9 million loss in 2024.

• Year-end cash was GBP 7.3 million, down from GBP 12.7 million, with a cash outflow of GBP 5.3 million; no debt on the balance sheet.

Outlook and guidance

• Increased order book and ARR provide strong revenue visibility and support confidence in future growth rates.

• Investment in data, AI, and expansion into Precision for All expected to drive continued top-line growth, margin expansion, and cash flow generation in 2026 and beyond.

• Addressable market expected to grow from 560 brands to over 1,000 by 2030, with industry growth rate of 13%.