Dunedin-based biotechnology firm Blis Technologies has cut its annual trading loss from $463,000 to $99,000 but its total loss after financial costs is almost unmoved at $482,000.
The full-year result follows a net loss of $180,000 for the first six months.
The trading loss for the year ending March included a writedown of $73,000 for redundant inventory of packaging and non-active ingredients.
Revenue for the year was up by 64% to $1.9 million, with increased sales in the US and Asia seeing product sales increase 103%.
The company attributed much of the increase in product sales to the appointment of Frutarom as global distributor in late 2008.
NZ revenue has increased by 31% as a result of the marketing campaign developed with Pharmabroker NZ, with $192.000 in sales.
While the New Zealand market is a small part of its operations, Blis said it remained an important test market for the company. Its current focus was to grow the North American and Asian markets, although work was continuing on breaking into the European scene.
The company – which was recently named the 2010 Frost & Sullivan Global Entrepreneurial Company of the Year in food and beverage ingredients – saw its net cash operation outflow rise by 138% to $372,000, largely due to financing costs relating to payment of dividend on convertible preference shares of $150,000.
Cash coming in from trading revenue and interest did see a $718,000 increase, but this was wiped out by a $772,000 rise in payments to suppliers and employees.
In releasing its result today, the company said it was now in a better position in terms of cash availability to improve its operating performance and that it was committed to generating positive cash inflows from its operations to fund investing and financing activities.
Fri, 21 May 2010