LONDON (Alliance News) - HydroDec Group PLC on Monday said its loss narrowed in the first half of 2018, helped by cost reduction.
The industrial oil re-refining company said pretax loss narrowed to USD2.1 million in the six months to the end of June from USD2.7 million reported for the same period a year earlier, despite revenue falling to USD6.4 million from USD6.7 million.
Administrative expenses declined to USD2.7 million from USD2.9 million reported a year ago.
HydroDec said its US unit sold 10.3 million litres of premium quality Superfine transformer oil and base oil during the period, down 22% year-on-year, reflecting the challenging feedstock market in the first quarter of 2018.
Meanwhile, in Australia, trading performance underperformed the company's expectations. HydroDec said it launched a business review and initiated a formal process to sell its Australian unit and considers to relocate the producing plant in the US.
Looking forward, the company said its trading improved in July and August with demand for product remaining strong. HydroDec also said it also continues to analyse various growth options, including strategic opportunities and partnerships.
"This is an important period for Hydrodec and the strong start to the second half of the year has reinforced our belief in the market-leading quality of our technology, plant, product and our ability to resolve the feedstock challenges of the past," said Executive Chairman & Interim CEO Colin Moynihan.
Shares in HydroDec were trading 2.3% higher on Monday at 1.10 pence each.