(Alliance News) - Trackwise Designs PLC on Thursday said it expects its annual loss to widen and revenue to fall, while it said it expects a manufacturing delay for its GBP8.0 million order with an electric vehicle original equipment manufacturer.
The Tewkesbury, Gloucestershire-based manufacturer of products using printed circuit technology said it expects to report a 2022 pretax loss of GBP7.7 million, widening from GBP2.0 million in 2021.
This is alongside revenue expected to fall 6.3% to GBP7.5 million from GBP8.0 million.
As previously announced, Trackwise claimed it started to see improved operations and performance following a disappointing first half at Stevenage Circuits Ltd with the appointment of a new managing director in July 2022.
Meanwhile, it said it expects a delay in the manufacture and deliveries of parts to its EV OEM customer, relating to its agreement announced in October 2022 for a fixed quantity of flexible printed circuit boards for delivery through to July 2023.
It had expected to begin volume production in the first quarter of 2023, with first cash receipts for the parts in early April and production completed in July.
It received an advancement payment of just under GBP4.0 million in October, with the remaining balance of the same amount set to be satisfied by standard payments on deliveries of the parts.
The customer has also undertaken a redesign and validation of the Parts to meet their revised design requirements, Trackwise said. It expects this to result in an amended payment profile, to offset the delay in cash receipt to Trackwise as a result of the redesign and validation of the parts.
Shares in Trackwise were down 45% to 0.63 pence each in London on Thursday morning.
By Greg Rosenvinge, Alliance News reporter
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