Avacta Group, reported Monday a wider half year net loss of £4m, compared with a loss of £3.4m the previous the year, weighed by an increase in administration costs.

Administration costs rose to £4.00m from £3.50m, as the firm's Life Sciences division, in particular the US business development team, scaled up the resources required to deliver the Affimer business growth plans.

Half year revenues increased 16% to £1.5m from £1.3m as Avacta Life Sciences' revenue grew to £0.7m from £0.5m, while Avacta Animal Health reported unchanged revenue of £0.8m.

Operating losses increased to £4.5m from £3.9m the previous year as research and development costs rose to £1.5m from £1.3m.

The firm said it remained focus on generating clinical data for its lead Affimer therapeutic programme, and added that it would continue to build-out a 'potentially transformative' pipeline of assets in immuno-oncology as it progresses toward the clinic in 2020.

'The group has delivered strongly against the objectives set out in 2015 when it raised funds to initiate an Affimer drug development programme and to begin commercialisation of Affimer reagents,' the firm said. 'We will continue to grow the Affimer reagents revenue during this time period, with a focus on long term recurring royalty revenue rather than short term services income, with the objective of creating a potentially stand-alone business unit,' said Alastair Smith, Chief Executive Officer.

At 8:29am: (LON:AVCT) Avacta Group PLC share price was -0.5p at 32p