Aortech International spikes as losses slashed

(ShareCast News) - Shares in AIM-listed medical device group Aortech International surged above 12-month highs as annual losses were more than halved and the company gave bullish indications on cash positivity.Revenue from continuing operations and other income of $0.84m was slightly more than double that of the previous year, while losses from continuing operations more than halved from $0.82m to $0.33m.After a $204,000 exceptional hit relating to litigation, down from the first-half's $212,000 thanks to a further recovery from its insurers net of the excess on the insurance policy payable by AorTech, saw total expenses of $0.98m for the year.The loss per share of 7.66 cents was around a third of the 27.1 cents the year before.The underlying business has made encouraging progress, with revenue from license fees and royalties now greater than overheads, and the company becoming cash positive in the second half of the year although over the year cash levels fell from $642,000 to $360,000 by period-end.The cash position has increased since year end and management anticipate being cash flow positive during the new financial year.Chairman Bill Brown said: "Despite the time and commitment required in the litigation action, the past year has been one of relative success."He added that progress was being made with key licensees and Brown said he expected the new financial year to be "one of further progress".Shares in Aortech were up 44% to 36.64p by 1040 BST on Friday.