25th Mar 2014 11:27
LONDON (Alliance News) - React Energy PLC Tuesday said its pretax loss held steady for its full year 2013 as lower costs and foreign exchange gains offset a significant decrease in revenue.
The renewable energy producer in the UK said its pretax loss remained flat at EUR1.0 million in 2013 despite its revenue falling 92% to EUR142,241 from EUR1.8 million in 2012.
The company said revenue fell as React's sale of electricity from the Pluckanes wind turbine failed to compare with large sales of equipment to complete Phase One of its Newry joint venture in 2012.
However, React said its cost of sales fell 94% to EUR105,974 from EUR1.8 million the previous year, giving the company gross profit of EUR36,267 for 2012.
The company added that it received a foreign exchange gain of EUR18,505 in 2013, compared with a foreign exchange loss of EUR144,728 in 2012 but that this was offset by an increased share of losses on joint ventures after tax to EUR168,526 from EUR20,208 the previous year.
React Energy said its acquisition of the business of GG Eco Systems Ltd earlier this month has positioned the company as the key player in Biomass Electricity and Heat generation in the UK.
The company said it has made significant progress in bringing its 12 megawatt Enfield Biomass project towards financial close and commencement of its construction is anticipated during the second half of 2014.
React Energy shares were down 0.4% to 22.65 pence Tuesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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