25th Jun 2014 09:54
LONDON (Alliance News) - Byotrol PLC Wednesday said it narrowed its losses and slightly increased revenues in its last financial year, supported by significantly lower administrative expenses and a one-off gain associated with the acquisition of Byotrol Consumer Products during the year.
However, shares in Byotrol fell 16% to 3.26 pence in morning trade, as the company also said it had raised GBP1.25 million before expenses via a share subscription and placing priced at 3 pence per share.
The company manufactures products based on microbial technology reported a pretax loss of GBP836,449 for the year ended March 31, compared with a loss of GBP1.7 million a year earlier, helped by a substantial reduction in operating costs. It said it also benefited from an exceptional gain of GBP103,044. A GBP684,289 loan was forgiven by Whatif Joint Ventures Ltd, a related party, as part of the acquisition of the non-controlling interest in Byotrol Consumer Products. This offset exceptional costs, such stock write offs and director and staff settlement costs.
Revenues for the year was GBP3.1 million, up 3% from GBP3.0 million the prior year, supported by steady growth of is professional business, particularly in food services and food manufacturing.
"This has been a year of change at Byotrol: we have formally combined our consumer and business-to-business activities, changed our executive management team, stripped a substantial amount of cost out of the business and have still increased sales," the company said.
"Having largely completed a process of rationalisation we are now able to turn our attention to growth from our new, leaner base," said Chief Executive David Traynor in a statement.
The company said it is closer to its trajectory of monthly break-even in the current financial year.
In a separate statement Wednesday, the company said it has raised GBP1.25 million before expenses via a share subscription and placing, funds it said it will use to invest in sales and marketing resource, expansion, intellectual property development, and working capital.
The company said it issued 41.7 million new shares, which place and subscribed at 3 pence per share.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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