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(Alliance News) - Powerhouse Energy Group PLC on Tuesday said it expects to move towards profitability as it has contracted its first modular generation product in the UK.
Powerhouse shares were trading 13% higher on Thursday in London at 0.44 pence each.
The waste to plastic technology company posted a pretax loss of GBP2.5 million for 2018 compared with GBP1.9 million loss reported a year before, due to an increase in administrative expenses.
Powerhouse did not generate any revenue in either year as it is working on the development of its distributed modular technology application.
Throughout 2018, the company said, it has continued its progress to commerciality, with completion of the engineering programme, then validation of the technology by independent consultants DNV GL and subsequently engaging customers.
The first application of the distributed modular generation product has now been contracted by Waste2tricity Ltd for a site in north west England.
Looking ahead, Powerhouse said it is in further negotiations for contracts for distributed modular generation applications at a number of other UK sites.
"2018 was a breakthrough year," said Chair Cameron Davies. "Our research and engineering design efforts resulted in the finalisation of the commercial design for the distributed modular generation process."
"The operation of the distributed modular generation on our first sites will be the enabler to allow us to convert our strong proposal pipeline into actual sales for future revenue and ultimate profitability," added Davies.