Last checked at 19 Jan 2012 07:00
19 January 2012
Biome Technologies plc
("Biome" or "the Group")
Pre-close Trading Statement
Biome Technologies plc, the bioplastics and RF technology business, is providing a pre-close trading statement for the financial year ended 31 December 2011 ahead of the announcement of the audited Preliminary results.
The Board is pleased to report that it expects the financial performance of Biome for the full year period to be in line with its expectations. Group revenue for the full year exceeded that in 2010 by more than 40% and, as a consequence, a significant reduction in operating loss is anticipated.
In the Bioplastics Division, revenue growth has been encouraging with an increase in revenues across products, applications and geographies. This growth was particularly strong in the first half, with more moderate growth in the second half, due to some market volatility following the easing of previous supply chain constraints. Revenue growth was particularly robust in the wholly owned Biome Bioplastics business as the commercial and technological capability of the team continues to strengthen.
The Stanelco RF Technologies Division saw a further substantial improvement over the course of the year with the continuation of a sizeable fibre optic furnace build programme and additional diversification into new industrial markets.
The Group's cash position at 31 December 2011 was £2.4m (30 September 2011: £3.0m) and the Group's debt facility of up to £2.0m remains unutilised.
As Continental Europe remains a major part of the Group's operations, the Board remains mindful of the wider economic uncertainties that could impact Biome in 2012. However, against this backdrop, incoming order level for the Bioplastics Division is strong and the signing of the previously announced contract between the RF Technologies Division and Durapipe UK provides considerable encouragement for 2012.
The Board feels confident that the Group can continue delivering on its strategy and building a successful business.
The Group expects to publish its Preliminary results for the full year ended 31 December 2011 on 29 March 2012.
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For further information please contact:
Biome Technologies plc Paul Mines, Chief Executive Officer Declan Brown, Group Finance Director
| Tel: +44 (0) 2380 867 100
|
Daniel Stewart & Company plc David Hart (Nomad)
| Tel: +44 (0) 20 7776 6550 |
FTI Consulting Oliver Winters Latika Shah
| Tel: +44 (0) 20 7831 3113 |
First Columbus Chris Crawford Kelly Gardiner | Tel: +44 (0) 20 3002 2070 |
Notes to Editor:
Admitted to AIM in July 2010, the activities of Biome operate in two divisions; Biome Bioplastics and Stanelco RF Technologies. Both divisions are underpinned by the Group's skills in the commercialisation and development of innovative technology.
The Group's core strategy is to develop and broaden its bioplastics business organically and is engaged with a variety of large-scale international customers and partners on a number of key commercial and development partnerships. These target applications in the food, horticulture and the electronics markets, amongst others, further enhance the Group's existing and new product development.