Flowgroup boils higher on bullish statement

AIM energy innovator Flowgroup was the highest riser on Wednesday morning as it published a bullish account of recent developments, including revenues being 'slightly ahead' of forecasts and that commercial launch of its core boiler product will begin in the second half of the year. The Flow micro combined heat and power (microCHP) boiler, which generates electricity as well as heat, is undergoing pilot testing in homes and the group said it expected to finalise the design of the mass production version of the boiler and deliver volume production designs to production partner Jabil this month.The group's energy reselling business continued to exceed expectations, the statement said, with annualised revenues of "no less than £30m" and management now plans to re-open its previously closed tariff to new customers in April. Flow's backup battery product was confirmed as having received first orders under a framework agreement with National Grid UK.Chief Executive Tony Stiff said: "We've consistently spoken about our technology platform as having the potential to underpin Flowgroup's development into a large, global company. We believe that, in 2014, we'll see that profile of company begin to emerge. "Our launch in the second half of this year will be the first time that microCHP technology has been commercialised in an affordable form for the mass market. That represents a significant opportunity to gain market share in the UK and beyond and generate strong returns for shareholders."Shares in FLOW were up 17.9% to 32.13p at 11:43 on Wednesday.OH