Axis-Shield Diagnostics, the Dundee makers of medical testing products, received a £1.3 million boost in sales as a result of the pound’s fall in value against the US dollar.
The Technology Park operation’s turnover rose by more than £3 million in 2015 to £21.6m and profit before tax was up by more than £1m to £7.12m – in both cases about 16.8%.
Managing director Anil Vasishta explained: “94% of the company’s revenues are designated in US dollars and the weakening of the pound has favourably impacted the revenues by £1.3m.”
The recovery of trading in China and the launch of a clinical chemistry assay for rheumatoid arthritis also contributed to the revenue growth.
Axis-Shield Diagnostics is a wholly-owned subsidiary of Axis-Shield Ltd which belongs to Alere Inc.
The company, with a workforce of 140, claims expertise in the development of novel proprietary diagnostic tests in areas of clinical need through assay technologies.
Its products diagnose and manage treatment for critical illnesses including cardiovascular and neurodegenerative conditions, rheumatoid arthritis, sepsis, vitamin deficiencies and diabetes.
The firm says there is an increasing need for new diagnostic tests in many disease areas, including those associated with the ageing population.
Identifying these diseases quickly and efficiently can be vital in maintaining a patient’s quality of life. New drugs are evolving alongside innovative diagnostics, leading to improved patient management and monitoring of treatment.
Axis-Shield Diagnostics has sales in a number of overseas countries and is exposed to foreign exchange risks primarily with US dollars and the Euro, but has a management programme to limit adverse effects.
Earlier this year the firm secured funding of almost £1.3m from Barclays.
Axis-Shield said it will use the capital to grow investment in research and development as well as boost efficiency at its facility in Dundee’s Technology Park.
Managing director Anil Vasishta said the funding will make sure the business, a spin-out from Dundee University that launched in 1982 as Shield Immunologicals, continues to provide “cutting-edge diagnostics products for our world-wide customer base”.
Axis-Shield clients include global pharmaceutical firms Abbott and Siemens.
Dundee University has a highly successful record in spinning-out companies as a means of transferring its technology into the market place.
The university has now spun out over 25 companies, many of these reflecting strengths in life-sciences, medical device and engineering.
Spin-out companies have created over 500 jobs directly in the local economy.
As well as Axis-Shield, companies of note include Cyclacel which have an international presence with operations in Scandinavia and the US as well as retaining Dundee bases.
