Oxford BioMedica H1 Revenues Surge 40%, Backlog Hits £222M-Shares Set for 50% Upside

Oxford BioMedica (LON: OXB) unveiled a solid start to 2025, with first-half revenues climbing between 38% and 44%, landing in the £70-73 million range. The gene and cell therapy CDMO continues to build on its growth momentum, confirming its full-year revenue outlook of £160-170 million alongside a modest positive EBITDA margin.

The company's sales pipeline solidified further, with contracted revenue now sitting at £165 million-up from £103 million this time last year. Demand clearly isn't cooling off: new client orders in H1 have more than doubled year-on-year, hitting £149 million compared to £56 million previously. This surge bumped Oxford BioMedica's revenue backlog to £222 million as of the end of June, a robust increase from £150 million twelve months ago.

Expansion efforts are charging ahead, notably through their multi-site manufacturing strategy. Lentiviral production capabilities are already live in the UK, US, and France. In a strategic move, Oxford BioMedica finalized the buyout of the remaining 10% stake in its US facility, folding it fully into their global operations. Capacity is being amped up with upgrades to GMP suites and automation across their UK labs, while AAV platform technology is shifting to France to support late-stage client programs.

The market will get the full earnings breakdown on September 23, followed by a Capital Markets Day scheduled for October 15. Meanwhile, shares are currently trading at £3.83, with RBC setting a price target of £5.66, hinting at nearly 50% upside, if their figures hold up.

A decent run so far, but with the stock not topping AI-driven selection lists and the gene therapy space competitive as ever, the next couple of quarters will be telling for how far Oxford BioMedica can push this momentum.