Abingdon Health Reports 40% Revenue Growth and Major Contract Wins in FY25 Results

Abingdon Health FY25: 40% revenue growth, bigger contracts, and a stronger H2

Abingdon Health’s final results for the year to 30 June 2025 show a business leaning into its strengths in lateral flow diagnostics and regulatory services. Revenue rose 40.0% to £8.6 million, which includes £0.16 million of profitable grant-funded development income. Excluding that, reported revenue was £8.4 million.

The story of the year is two halves: a softer H1 as decisions slipped, then a notably stronger H2 as new, larger contracts kicked in and acquisitions bedded down. Management says FY26 has started well, with Q1 revenue significantly ahead of the prior period.

Key numbers investors should know

Metric	FY25	FY24
Total revenue (incl. grant-funded development)	£8.6m	£6.1m
Reported revenue (excl. grant-funded development)	£8.4m	£6.1m
H2 revenue	£5.5m	£3.7m
H1 revenue	£3.1m	£2.4m
Gross margin	44.3%	60.0%
Adjusted EBITDA loss	£2.6m	£1.1m
Operating loss	£3.5m	£1.4m
Cash at bank (30 June)	£1.9m	£1.4m
Basic loss per share	(0.93)p	(0.42)p

Where the growth came from: CDMO and regulatory services

Abingdon is a CDMO – a contract developer and manufacturer – in lateral flow diagnostics. It also runs a CRO (contract research organisation) and a growing regulatory consultancy. That blend matters for customers who want “idea to commercial success” under one umbrella.

• Contract development services: £3.2 million, or £3.4 million including £0.16 million of UKRI-funded malaria work recognised in other income (FY24: £3.3 million). H1 was slow; H2 was lifted by larger, longer-duration projects.
• Contract manufacturing: £1.3 million (FY24: £1.3 million).
• Regulatory services: £3.4 million (FY24: £0.9 million), reflecting a full year from IVDeology (£0.4 million) and ~10 months from CS Lifesciences (£2.8 million).
• Product sales (including Abingdon Simply Test): £0.5 million (FY24: £0.7 million).

Geographically, the UK delivered £4.5 million, Europe £1.7 million, USA & Canada £2.1 million, and Rest of World £0.1 million.

Contract wins worth paying attention to

The order book stepped up, with several notable wins during FY25 and after year-end:

• US$2 million development contract for sexually transmitted disease tests running across 2025 and into 2026.
• £800,000 UKRI funding with leading partners to develop point-of-care malaria tests.
• Strategic tie-ups with Okos Diagnostics to develop and commercialise avian flu (H5N1) lateral flow kits for bovine health and human use.
• €2 million companion diagnostic CDMO contract with a European biotech – covering development through to regulatory approval support.
• Post year-end: companion diagnostic contract with a global pharma worth c.US$2.5 million over 24 months.
• Post year-end: c.US$2 million development, scale-up and tech transfer of a semi-quantitative multiplex lateral flow system for a new US customer.

Why it matters: these are bigger, multi-phase programmes that typically run longer, improve visibility, and can help smooth the historic H1/H2 seasonality Abingdon flagged.

US expansion and an integrated service stack

Abingdon opened its US CDMO site in Madison, Wisconsin in April 2025, now fully operational and already winning development work. Post period-end fundraising will expand US manufacturing capacity and add performance evaluation services, plus accreditations (ISO 9001 and ISO 13485).

In the UK, Abingdon Analytical opened in Doncaster in December 2024, adding performance evaluation such as sensitivity/specificity, limits of detection and method comparisons – the technical data that fills regulatory files. This sits alongside the acquisitions of IVDeology (May 2024) and CS Lifesciences (August 2024, up to £3.2 million consideration). Integration is well underway, with a >£500k regulatory contract won in January 2025 and subsequently extended to over double the initial estimate.

Margins down, losses wider – but H2 improved

Gross margin fell to 44.3% from 60.0%. Two drivers stand out:

• CS Lifesciences’ consultant-heavy cost base is recorded in cost of sales. Management notes gross margin would have been 50.6% before the CS acquisition impact.
• Revenue mix shift toward regulatory and performance evaluation, which carry lower margins than early-stage contract research.

Adjusted EBITDA loss for FY25 was £2.6 million. The run-rate improved materially in H2, with an adjusted EBITDA loss of £0.7 million versus £1.9 million in H1, helped by higher revenues and operational leverage.

Cash, fundraises and working capital

Year-end cash stood at £1.9 million. The Group raised £5.2 million net in August 2024 to support expansion, including Abingdon Analytical. After the period, it raised a further £3.2 million net in October 2025 to accelerate US expansion and provide working capital for the larger contract wins, including the c.US$2.5 million global pharma programme and the c.€2.0 million European biotech project.

Translation: the growth plan requires upfront investment and inventory/receivables headroom. The recent raises are designed to fund that step-up.

Product and tech notes worth a mention

• Abingdon Simply Test now includes 16 self-tests; FY25 revenue was £0.5 million with some H2 recovery. Orders for Salistick, Vitamin D and Ferritin were delivered, plus an own-brand Salistick launch in Germany and other territories scheduled for H1 FY26.
• Eco angle: seaweed-based lateral flow housings launched with SymbioTex, offering customers a lower-plastic option.
• Digital: AppDx, Abingdon’s AI-driven smartphone reader, is now available commercially, with a new US patent granted in July 2025.

Outlook: momentum into FY26 and a path to cashflow positive

Management guides to “strong revenue growth” in FY26 and says the larger, longer projects are already smoothing seasonality. The ambition is progression toward profitability and a cashflow positive position during calendar year 2026.

Positive markers: the US footprint, expanded regulatory and analytical capabilities, and the cluster of substantial CDMO contracts. These collectively support higher visibility and cross-sell across the Group’s “develop – evaluate – regulate – manufacture” stack.

My take: what’s good, what’s tough, what to watch

What’s good

• Contract momentum: multiple seven-figure deals across STDs, malaria, companion diagnostics and multiplexed systems.
• Integrated model: development, performance evaluation and regulatory under one roof is resonating, evidenced by regulatory revenue jumping to £3.4 million.
• US presence: Madison gives Abingdon access to customers who prefer – or must use – US suppliers, and it positions the Group for onshore manufacturing.

What’s tough

• Still loss-making: adjusted EBITDA loss of £2.6 million and a lower gross margin at 44.3% put pressure on execution.
• Mix effects: shifting toward regulatory and evaluation can dilute margin, even as it boosts total revenue. Delivery discipline matters.
• Working capital: bigger projects are great, but they consume cash before they generate it – the October 2025 raise is there to bridge that.

What to watch next

• Conversion of the new US and EU contracts into steady manufacturing revenue – the margin step-up lives there.
• Further US capacity build and accreditation timelines in Madison.
• Evidence that H1/H2 seasonality is genuinely smoothing in FY26.

Bottom line

Abingdon Health exits FY25 with clear commercial traction, a broader service offering, and a bigger US footprint. The challenge now is operational: deliver the newly-won programmes, lift utilisation, and let manufacturing scale do its work on margins. If momentum holds and working capital is well managed, FY26 could be the year the model starts to show its operating leverage.