As part of a major new £1 million investment, Scottish diagnostics specialist FlexMedical Solutions aims to double its headcount to more than 30 over the year.
In addition, the Livingston-based company will add new equipment and leasehold improvements as it creates five new R&D labs and additional office facilities.
FlexMedical Solutions offers design, development, and manufacturing services to customers in human point-of-care testing. It supports its customers in developing tests for the management and diagnosis of multiple diseases and medical conditions.
The company doubled its revenue for the year ending 30th April 2021, hitting £3 million. It is currently on track to make around £4.5 million of revenue in the current year.
With around 70% of the FlexMedical’s revenue coming from outside the UK, the company plans to increasingly target the North American market in 2022.
CEO and co-founder Kevin Fallon said: “Human diagnostics is very much in the headlines due to the pandemic, with governments and investors alike having their eyes opened to the power of diagnostics, particularly around point-of-care, and we’ve seen that impact positively on the business.
“If you look at the UK alone, healthcare economics now demand that more people are managed at home to lower the chance of the NHS being overburdened.
“Other than an initial lockdown wobble, we have been very fortunate to see continuing sustained growth since the pandemic started.
“While the manufacture and development of Covid tests is a relatively small part of the business, and in fact we were growing as rapidly pre-pandemic, what we think is more important is that we are definitely seeing an indirect upside in terms of increased investor activity and a greater appetite and take-up of point-of-care technology in general.”
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Furthermore, the global human point-of-care diagnostics market is estimated to grow from approximately $30 billion to $50 billion within the next four years, with the Covid pandemic’s impact on healthcare increasing the trend of managing patients at home or in non-hospital care settings.
While Fallon says that supply chains were “definitely impacted by the pandemic,” with “some price increases but more notably increased lead times”, FlexMedical’s CEO says that Brexit has added “complexities” when it comes to taxes, duties, shipping, and hiring.
While human diagnostics is FlexMedical’s primary market, the company recently completed the development of a test for use in the food and drink sector, and is also eyeing other fast-growth sectors including agri-food and wearable technology.
CEO Fallon says FlexMedical will remain self-funded in the immediate term, although he is not ruling out external investment or acquisitions in the medium term: “Our focus for the next twelve months centres on the significant growth opportunities we have in international markets. At the same time, if we spot value-adding growth by way of acquisition, then that’s certainly something we’re going to look at.”