hVIVO (HVO) H1 2024 earnings summary

Executive summary

• Achieved record H1 2024 revenue of £35.6m (GBP 35.6 million), up 31% year-over-year, driven by strong demand for human challenge trials, operational expansion, and enhanced facilities including the new Canary Wharf site.

• EBITDA margin reached 24.5%, with EBITDA of £8.7m, a 68% increase year-over-year, reflecting operational efficiencies.

• Successfully transitioned to a state-of-the-art Canary Wharf facility, increasing operational capacity and enabling new revenue streams.

• Expanded outpatient and laboratory capabilities, supporting the largest field trial to date, new service offerings, and record volunteer numbers.

• Maintained a debt-free, highly cash-generative position with £37.1m cash at period end.

Financial highlights

• Revenue for H1 2024 was £35.6m, a 31% increase year-over-year, with a 41% CAGR since H1 2022.

• EBITDA margin at 24.5%, with EBITDA of £8.7m, up 68% year-over-year.

• Cash position at end of June 2024 was £37.1m, up from £31.3m at the start of the year; no debt.

• Basic adjusted EPS was 0.81p, up from 0.62p in H1 2023.

• Weighted order book at £71m as of June 2024.

Outlook and guidance

• Maintaining full-year 2024 revenue guidance of £62m, with 100% of revenue covered by existing contracts.

• Targeting £100m revenue by 2028, with growth expected from core challenge trials, new revenue streams, and bolt-on acquisitions.

• EBITDA margin expected at the upper end of market expectations (22–24%) for the full year.

• Pipeline remains strong, with £40m in near-term opportunities and visibility into 2025.