LONDON (Alliance News) - Infrastructure developer and operator REACT Energy PLC on Thursday said its pretax loss narrowed in the first half of its financial year, as it booked fewer impairments and administrative expenses came in lower.
REACT posted a pretax loss of EUR411,000 for the six months ended December 31, from EUR1.3 million for the same period a year earlier, despite revenue coming in lower at EUR131,000 from EUR154,000.
This was after administrative expenses fell to EUR251,000 from EUR611,000, and the company booked no impairments. For the same period the previous year, REACT was hit by a EUR536,000 impairment of project costs.
REACT said it achieved all its objectives for the period, namely obtaining court approval for a scheme of arrangement and completing the examinership process, as well as selecting a commercially viable gasification technology for its Newry biomass gasification project.
The company said it also completed the financing facility with EcoFinance, a company which sources finance for renewable energy projects, and succeeded in restoring trading in its shares on the AIM market.
"Having achieved these objectives the group's business strategy remains one of focusing the group's resources on delivering projects to financial closure and managing the implementation and operation of those projects," REACT said.
The company pointed to its immediate focus of securing the necessary financing required to repower the Newry project and said discussions were ongoing in this regard.
Shares in REACT were down 6.0% at 3.53 pence on Thursday.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
Copyright 2016 Alliance News Limited. All Rights Reserved.