8th Jul 2016 07:42
LONDON (Alliance News) - Solid state battery technology company Ilika PLC on Friday said its loss was wider in the last financial year after the firm channelled more of its resources into developing its battery system, causing revenue to almost halve during the period.
Ilika reported a pretax loss in the financial year to the end of April of GBP3.8 million, compared to the GBP3.0 million loss booked in the previous year, as revenue declined by 45% to GBP605,924 from GBP1.1 million.
Revenue is derived from the provision of research and development services, as well as government grants. The contribution from grants was higher year-on-year, meaning revenue from services fell dramatically.
Ilika said GBP450,000 of the revenue booked came from grants related to work being conducted in partnership with the University of Cambridge, Diamond Light Source, and Rolls Royce to develop new superalloy compositions for gas turbine engines. In the previous year, grants totalled GBP384,000.
"The company has committed an increased proportion of its operational resource to the internally funded battery development programme in the year and as a consequence, has generated lower revenue from customers than in the prior year," said Ilika.
Operations remained profitable, producing a gross profit of GBP269,643, but that was almost half the GBP502,934 profit the previous year.
Administrative costs increased to GBP3.8 million from GBP3.6 million, and share-based payments rose to GBP352,291 from GBP33,648.
The main highlights from the financial year included the April launch of Streatex M250, a miniaturised solid state battery that is designed for the Internet of Things market. Ilika also secured patents to protect the technology and the fuel cell catalysts.
"The definition of a clear solid state battery roadmap and the launch of the Stereax M250 have been important milestones on the road to commercial success. Underpinning this product development has been a continued deployment of Ilika's high throughput platform on a focussed portfolio of materials development opportunities," said Chairman Mike Inglis.
Ilika shares were down 1.9% to 51.50 pence per share on Friday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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