Sabien tumbles on profit warning
Energy efficient technology manufacturer Sabien Technology expects to report revenues of around £600,000 and a pre-tax loss of as much as £700,000 from its last trading year.
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Sabien also warned that unless the group accelerates the rate at which it converts opportunities in its pipeline, it would be unable to hit its monthly break-even targets by December, meaning it would need to raise additional equity during the first half of the reporting period ending 30 June 2019.
On the upside, Sabien assured shareholders that its sales pipeline, estimated to be approximately £10.4m, remained "relatively stable" compared to the £10.1m it reported back in January.
The AIM-listed company noted that, while it had converted just one large sales opportunity since the end of its first trading half on 30 January, the group's board consider the remaining opportunities to be "realistic prospects".
Management vowed to continue focusing on the conversion of sales pipeline opportunities, including rental opportunities and further non-staff cost reductions to improve its profitability.
As of 1500 BST on Monday, Sabien shares had tumbled 42% to 0.20p.