11th Feb 2016 09:15
LONDON (Alliance News) - Drone company Strat Aero PLC said Thursday it expects to report a widened pretax loss for 2015, but gave a more confident outlook for 2016, as it said revenue trends have improved.
The company expects to report a pretax loss of USD3.9 million for 2015, widened from the USD1.2 million loss it reported in 2014, as revenue is expected to drop to USD430,000 from USD630,685.
Strat Aero said its first half had been hit by "shifting market dynamics and a lack of contract conversion", but said that thanks to work it undertook in the first half and its acquisitions of Geocurve and Aero Kinetics, revenue in the second half showed a "significant improvement".
This has bolstered the company's confidence that this upward trajectory in revenue will be maintained into 2016, meaning that its forward prospects also have "significantly improved".
To demonstrate this, Strat Aero said that its February revenues alone are expected to be in the region of USD200,000.
"We anticipate that 2016 will be a year of incremental orders and contracts as we seek to demonstrate the value add of drone technology in a number of specific client sectors, which we are confident will lead to larger contracts and revenues materialising towards the latter part of the year," said Chief Executive Officer Tony Dunleavy in a statement.
Shares in Strat Aero were down 0.8% at 4.34 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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