hVIVO (LON: HVO) reported an adjusted EBITDA loss of £4.5 million in the first half of 2026, compared to a £3.0 million profit a year earlier, as human challenge trial revenue fell sharply. But the London-based clinical research organisation offset the timing-driven weakness with a record contracted orderbook that more than doubled to £72 million.
Revenue dropped 32% to £16.3 million from £24.2 million in the same period last year. The decline was concentrated in the human challenge trial (HCT) segment, which generated roughly £4 million compared to approximately £12 million in H1 2025, driven by contract deferrals. Clinical services revenue remained relatively stable on a like-for-like basis at about £9.5 million, while laboratory services grew 110% year-over-year from a smaller base.
The contracted orderbook reached £72 million as of June 30, 2026, up from £30 million at the end of 2025 and £27 million a year earlier. That total includes £65 million from the existing business and £7 million from the CRS Berlin acquisition, completed in August 2026. Proposal volume rose approximately 45% year-over-year, with roughly £50 million in new contract awards secured during the half.
hVIVO projects second-half revenue of approximately £31 million—nearly double the first-half figure—supported by the strong orderbook and including roughly £3 million from the CRS Berlin facility. Full-year revenue guidance remains at £47 million. The company expects EBITDA to turn positive in H2, resulting in a low single-digit loss for the full year.
Cash stood at £13.0 million as of June 30, 2026, down from £14.3 million at year-end 2025. hVIVO anticipates the balance to decline further to approximately £8–9 million by year-end, citing working capital requirements for field study work and customer payment timing.
The August acquisition of CRS Clinical Research Services Berlin added a 32-bed facility, including 18 intensive-monitoring beds serving a catchment area of roughly 6.2 million people. Initial consideration was €25,000, with a three-year revenue-based earn-out of approximately €6 million gross (€4 million net of acquired pension liability), payable at 18% of CRS Berlin's annual revenue only if targets are met. The acquired orderbook stood at €10 million at the time of purchase.
Customer concentration improved but remains elevated: the top 10 customers accounted for 75% of H1 2026 revenue, down from 92% in 2024. Repeat business still represents approximately 75% of annual revenue. hVIVO operates a 50-bed individual en-suite quarantine unit and maintains commercial provider status for human metapneumovirus (hMPV), RSV B, and influenza B challenge models. The company also cited the landmark ILIAD Phase III trial in Bordetella pertussis.
In the broader market, biopharma M&A reached $119 billion year-to-date through August 2026, with large-cap pharma holding $500–600 billion in deal-making capacity against up to $400 billion in patent cliff exposure. The early-phase CRO services market is expanding from $9.53 billion in 2025 to an estimated $10.39 billion in 2026, projected to reach $14.8 billion by 2030 at a 9.2% compound annual growth rate.
Broker estimates for 2027 revenue sit in the £55–60 million range. hVIVO shares traded at $6.00, up 1.69% from the previous close of $5.90, but remain down approximately 39% over the past year, within a 52-week range of $4.31 to $11.00.
