Omega Diagnostics bosses prescribe a plan for Bric expansion

MEDICAL testing kit maker Omega Diagnostics today unveiled a further push into the fast-growing “Bric” economies and emerging markets in Africa after profits jumped by a third.

The Alva-based firm heralded the potential of a deal signed last month to make testing kits for Aids indicator CD4 and syphilis.

Both kits can be used at the “point of care” (POC) in the field rather than in expensive centralised laboratories.

Emerging markets will be a big focus for Omega in the year ahead, as well as a continued push into Brazil, Russia, India and China (Bric).

Chairman David Evans said: “As the group looks to build on its progress to date, it is clear that, to achieve significant year-on-year growth, we either need to increase the level of automation for customers or to provide POC tests for un-met needs in developing markets.

“From a market perspective, a focus on the growing Bric countries is expected to yield above average results. In particular, I believe the opportunity with CD4, which will commercially launch in July, offers the group an ability to create significant strategic value based on the responses we have had to date from major global organisations.”

News of the push into emerging markets came as the firm posted a 36 per cent rise in underlying profits in the year to 31 March to £1 million on the back of a 41 per cent hike in turnover to £11.1m.

The increase in sales followed on from the November 2010 acquisition of parts of German peer Allergopharma.

Merchant Securities analyst Robin Campbell said that the results highlighted “a strong year and momentum” and noted that Omega was formulating plans to enter the US market too.