RUA Life Sciences (AIM:RUA) has said it expects revenue for the six months to 31 March to be approximately £2.8m, a c.6% increase from £2.6m, and to be at EBITDA breakeven for the period as adjusted for share‑based payments and non‑recurring items.
RUA Life Sciences, the holding company of medical device businesses focused on exploitation of the long‑term implantable biostable polymer Elast‑Eon, said revenue was driven by a 32% rise in the UK CDMO business to £1.3m and a 41% rise in the biomaterials business to £0.5m after historical underpayments were uncovered, while Abiss sales fell 30% to £1m as a major customer reduced inventory.
Gross margin is expected to edge up to 75% from 74% and administrative costs are forecast to fall 8% to £2.3m, supporting an EBITDA improvement of c.£0.4m versus the prior period.
The group consumed £0.9m of cash in the six months to March and held £2.4m at 31 March, and it expects the position to normalise in the second half as accrued income is billed and R&D tax credits are received.
RUA said recent UK CDMO development contracts should deliver around £500,000 of additional revenue over the remainder of calendar 2026 and that development activity has grown fourfold with the potential to convert into over £5m per annum of manufacturing contracts.
RUA is in discussions with the Abiss customer to align inventory and provide two‑year revenue visibility and Abiss is developing a strategy to commercialise its own device portfolio including a next‑generation mini‑sling for stress urinary incontinence.
"RUA has achieved a great deal over the past two years with the development of the CDMO business, funding of RUA Structural Heart and the acquisition of Abiss," Bill Brown, Chief Executive of RUA Life Sciences, said.
The interim accounts for the six‑month period ending 31 March are expected to be published at the end of June 2026.
