LONDON (Alliance News) - Nanoco Group PLC on Tuesday said it has signed a further follow-on joint development deal with lighting company Osram Light AG, as it reported a widened pretax loss for its most recently ended financial year.
The company makes quantum dots - nanocrystals made of semiconductor materials, which can be used in solar cells, LEDs and diode lasers. Nanoco's quantum dots do not contain cadmium, a heavy metal that is currently restricted under European environmental law.
In May, members of the European Parliament voted against an EU proposal to prolong the permission to use cadmium-containing quantum dots in Europe, under an amendment to the restriction of hazardous substances directive. Nanoco said it continues to urge the European Commission to enact anti-cadmium legislation promptly.
Nanoco reported a pretax loss of GBP10.9 million for the year to end-July, widened from a pretax loss of GBP9.1 million a year before, as a rise in revenue to GBP2.0 million from GBP1.4 million were offset by higher operating costs and exceptional expenses related to its move to the London Main Market from AIM in May.
The company's licensing partner, the Dow Chemical Co, reached mechanical completion of its cadmium-free quantum dot manufacturing plant in South Korea during the year. Commissioning of this plant is ongoing, Nanoco said. However, customer sampling is now expected to begin in "the very near term", compared to its previous expectation of the third quarter of 2015.
This means that it now expects to see recurring revenue from the plant in the second half of its current financial year, delayed from its original expectation of the fourth quarter of calendar 2015.
"The past year has been one of rapid development at Nanoco, and we continue to configure the organisation to meet the needs of an emerging, global licensing and manufacturing business," said Chairman Anthony Clinch in a statement.
Shares in Nanoco were down 1.2% at 61.25 pence Tuesday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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Nanoco (NANO)