LONDON (Alliance News) - Collagen Solutions PLC on Monday said it has seen a "positive start" to its new financial year, as it reported a narrowed pretax loss for its year just ended.
Collagen Solutions develops and manufactures collagen components for use in regenerative medicine, medical devices and in vitro diagnostics.
For its financial year to end-March the company reported a pretax loss of GBP866,290, narrowed from a pretax loss of GBP1.1 million the previous year, as a rise in revenue to GBP3.1 million from GBP972,846 was partly offset by higher administrative costs.
Collagen Solutions said it had seen a very strong contribution to revenue growth from Southern Lights Biomaterials, which it acquired in December 2014.
The company said it has many customer opportunities in North America and in Asia. It has invested in a regional commercial manager in Korea to help capture these opportunities, and has also invested in a new multi-purpose processing facility in New Zealand.
Following the year-end, the company has formed a joint venture in China with investment vehicle Cre8ive. It said it had had an initial joint venture board meeting in Hong Kong in July, and whilst the "scale of the opportunity is significant and exciting", it will take time to gain traction.
"The past year was transformational for the company in terms of a step change in scale, product and technology breadth, and organisational development. This has given us a strong foundation as we continue to make progress in the current financial year, with clear and specific strategic initiatives, an engaged management team and a shared vision: to become the industry's first choice for regenerative biomaterials," said recently appointed Chief Executive Officer Jamal Rushdy in a statement.
Shares in Collagen Solutions were up 14% at 6.00 pence Monday.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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