LONDON (Alliance News) - Quadrise Fuels International PLC said Monday that strong foundations laid over the recent year positioned it well to achieve its first product revenues in 2014, as it reported widened pretax losses.
For the full year ended June 30 the company posted revenues of GBP75,000, up from GBP38,000 in the previous year. This revenue was generated through recoverable costs recharged to related parties and other recoverable costs.
The company saw a pretax loss of GBP5.0 million, widened from a pretax loss of GBP4.2 million in the previous year which it attributed to non-cash charges of GBP3.2 million for the amortisation and impairment charges of intangible assets and adjustments to available-for-sale investments.
Quadrise Fuels International manufactures its MSAR emulsion fuel oil. MSAR makes heavy fuel-oil easier to use.
Quadrise Fuel said it had made progress towards its objective of near-term commercial operations, and a number of projects had been added to its operation to broaden its future business base. It warned that its funding requirements were sensitive to the start of its commercial phase and first revenues from MSAR products. It said that it now expects to begin producing revenues in the first half of 2014.
The company said that current pricing of crude oil and oil products as well as increasing pressures on emissions control meant that its MSAR emulsion fuel provided a case for change in the marine sector and large oil-based economies like Saudi Arabia. The economic climate was not a consideration for the company, Quadrise Fuels said, suggesting economic adversity might even be positive for the business by forcing attention on cost saving.
Quadrise Fuels said that, although the first revenues from its commercial operations were still months away, its current programmes with its partners and clients provided a clearer path towards those revenues.
Shares in the company were trading down 0.10 pence at 24.30p late morning Monday.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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