(Alliance News) - Intelligent Ultrasound Group PLC on Thursday said it made "excellent progress" in 2019, as it announced cost-saving measures amid the Covid-19 outbreak.
The stock was trading 22% higher at 10.40 pence each at Thursday midday in London.
The artificial intelligence-based software tools developer reported revenue of GBP5.9 million, up 11% from GBP5.3 million in 2018. Pretax loss stood at GBP4.6 million, widened from GBP3.6 million.
Administrative expenses increased to GBP8.2 million from GBP7.1 million as the the company increased its investment in research and development - particularly in the Clinical AI division - to GB2.7 million from GBP1.9 million. The company added that more sales support staff were employed in North America and more logistics staff were added in the UK.
No dividend was declared.
Revenue in North America increased to GBP2.6 million from GBP1.7 million. Revenue for the UK fell by 28% to GBP700,000 from GBP1 million on "inertia" in the UK National Health Service non-essential spending caused by the delay in completing Brexit. Revenue for the Rest of the World remained unchanged year-on-year at GBP2.6 million.
Looking ahead, Intelligent Ultrasound said it has implemented cost-saving measures to ensure that its earnings before interest, taxes, depreciation, and amortization for 2020 remains in line with expectations amid the Covid-19 outbreak.
"The outlook for the medium and long-term remains unchanged, with the group expected to have sufficient funds to continue its simulation and AI business activities for the next twelve months, when the revenues from its first AI software licence agreement are expected to be generated," said Chair Riccardo Pigliucci.
Cash at the end of 2019 stood at GBP7.3 million, falling to GBP6.2 million on Thursday.
By Ife Taiwo; ifetaiwo@alliancenews.com
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