Shares in IXICO PLC (LSE:IXI, OTC:PHYOF, FRA:PYPB), the neuroscience imaging company, rose 11% to 9p after it has raised its revenue forecast for the current financial year after stronger-than-expected trading.
The company now expects revenues of at least £8 million for the year ending 30 September 2026.
That represents growth of around 22% on the previous year and sits ahead of existing market expectations.
The updated guidance replaces an earlier forecast of £7.5 million, which had pointed to a 15% uplift.
IXICO, which uses an artificial intelligence platform to support drug development and diagnostics in neurological disorders, attributed the improvement to strong trading across a broadening client base.
Contract wins and extensions also contributed to the higher figure.
Chief executive Bram Goorden said the performance had been driven by a continued rise in contract wins, contract extensions and revenue diversification.
He said the results stemmed from a plan put in place in 2024 and demonstrated the benefits of that strategy as it matured.
Goorden added that the company would continue to develop scientific products, services and technology aimed at keeping IXICO at the forefront of neuroscience.
The company serves clients across the pharmaceutical and biotechnology sectors, developing treatments for conditions affecting the brain.
Broker Cavendish told investors: "IXICO is developing the TechBio strategy to operate alongside its established imaging CRO [contract research] business, to maximise the value from the underlying AI-driven IXI platform.
"Management remains focused on delivering sustained revenue growth, supported by targeted investment in the platform and marketing capabilities, delivering an increasingly stable and resilient business.
"We believe the new TechBio strategy can support this outlook with high-value, high-margin, recurring revenues."
Its target is 26p, a significant premium to the current share price.
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