Bioplastics Product Update
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 ("MAR")
14 June 2019
Biome Technologies plc
("Biome", "the Company" or "the Group")
Bioplastics Product Update
Biome Technologies, a leading bioplastics and radio frequency technology business, is pleased to announce that commercial production of Biome's new heat stable material has commenced in the USA. This material has a range of applications, including the previously announced projects for disposable cutlery and a rigid ring for the coffee pod market.
Revenues for this new material are now expected to commence imminently for use in the cutlery application. Revenues for the rigid ring application are anticipated to follow in the second half of the year once final testing has been completed.
The Board now expects revenues for the Bioplastics division for Q2 to be approximately £0.75m (Q1 2019: £0.6m; Q2 2018: £0.5m).
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For further information please contact: Biome Technologies plc
Paul Mines, Chief Executive Officer
Declan Brown, Group Finance Director
Tel: +44 (0) 2380 867 100
David Hart/Alex Brearley (Nominated Adviser)
Kelly Gardiner (Broker)
Tel: +44 (0) 20 3328 5656
Biome Technologies plc is an AIM listed, growth-orientated, commercially driven technology group. Our strategy is founded on building market-leading positions based on patented technology and serving international customers in valuable market sectors. We have chosen to do this by developing products in application areas where the value-added pricing can be justified and that are not reliant on government legislation. These products are driven by customer requirements and are compatible with existing manufacturing processes. They are market rather than technology-led.
The Group comprises two divisions, Biome Bioplastics Limited and Stanelco RF Technologies Limited. Biome Bioplastics is a leading developer of highly-functional, bio-based and biodegradable plastics. The company's mission is to produce bioplastics that challenge the dominance of oil-based polymers. Stanelco RF Technologies designs, builds and services advanced radio frequency (RF) systems. Dielectric and induction heating products are at the core of a product offering that ranges from portable sealing devices to large furnaces for the fibre optics markets.
In 2018, the Board has adopted the following three high level KPIs for the next three years to continue its ambitious momentum:
· Compound revenue growth of 25% per annum across the Group and 40% compound revenue growth in the Bioplastics division
· Diversify the Group's turnover by product and market to ensure that no one product or end customer contributes more than 15% of revenues by 2020
· Increase investment in the Group's next generation of products by spending significantly more per annum on average than the £0.3m per annum average spend over the previous strategic objective cycle
#ThinkBioplastic is our digital educational platform, launched in October 2018 in response to the emerging global plastic conversation. It speaks to a wide audience, highlighting bioplastics as a leading solution among several to reduce the negative impact of plastic manufacture and disposal. Following the much acclaimed first series of short videos the second series has just been released.
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