Versarien almost halves interim losses as revenue surges 167%
Advanced engineering materials group Versarien nearly cut losses in half as revenues increased by 167% across the group in its first half of trading.
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Revenues grew from £1.64m to £4.38m, helping to narrow pre-tax losses from £1.47m to £770,000, as well as slashing LBITDA 46% to £430,000 over the six months leading to 30 September.
Versarien generated "significant interest" from OEM's worldwide in its graphene nano-platelets and was awarded competitive framework tenders from the Centre for Process Innovation for its graphene and hexagonal boron nitride products.
It also received its largest single order in the aerospace sector for parts to be used by one of Britain's largest aero engine manufacturers.
Cash did decline from £1.51m to £350,000 throughout the period; however, post-period on 6 November the group successfully completed a £2.8m fundraising.
Neill Ricketts, chief executive of Versarien, said, "The last few months have seen significant progress across the group, in both our emerging technologies and more mature businesses.
"The graphene business has entered into significant collaboration agreements with global OEM's, won framework tenders with the Centre for Process Innovation, (predominately based on an assessment of graphene quality), and internal reviews indicate that Nanene meets the relevant requirements of the new ISO standard," he added.
Versarien's hardware and thermal products unit posted £60,000 in EBITDA, a marked improvement on the previous year's £270,000 loss, and its graphene and plastic products wing posted a 16% smaller LBITDA of £250,000 on revenues of £2.21m.
"The successful placing in November has provided funds for scale up and collaborative development and we look forward to reporting further progress over the coming months," Ricketts concluded.
Losses per share narrowed to 0.54p from the 1.31p posted twelve months earlier.
As of 1200 GMT, shares had gained 0.11% to 44.40p.