Transense Technologies Plc (AIM: TRT), the provider of sensor systems for the transportation and industrial markets, has told DirectorsTalk about positive results for the six months ended 31 December 2015.
The Group has achieved commercial progress in each of its continuing business activities, although revenue growth has been constrained by tough market conditions in the mining sector. The sale of the intelliSAW division (with associated licensing income) in October 2015 has both transformed the financial position of the Group and validated the high value potential for our core technology across a wide range of major global applications in the longer term.
Highlights:
· Adjusted revenues* up 33% to £1.04m (Dec 2014: £0.78m)
· Adjusted loss* from continuing operations of £0.62m (Dec 2014 loss of £1.15m)
· Sale of intelliSAW division to Emerson for £2.96m (including associated licence income of £2.74m) in October 2015
· Net profit for the period of £1.70m (Dec 2014 loss of £1.72m)
· Net cash generated from operations of £1.43m (Dec 2014: £1.43m net cash consumed)
· Net cash at end of period of £4.56m (Jun 2015: £0.47m)
· Further engagement with world class partners in commercialising SAW technology
· Increased penetration of iTrack system in tough market conditions
* from continuing operations and adjusted to exclude licence fee income associated with the disposal of intelliSAW.
Executive Chairman of Transense Technologies, David Ford, said: “The sale of the IntelliSAW division to Emerson last October increased the resources available to the Company. More importantly, this transaction has signalled to the industrial marketplace that SAW (Surface Acoustic Wave) sensing is not only a mature technology, but also a valuable one.
Reasonable progress has been made in commercialising products and services sold through our Translogik division, although this has been constrained to an extent by ongoing difficulties experienced by our customers in the mining sector.
We continue to be optimistic about prospects for each of our current business streams, although our approach to the short-term outlook is more cautious whilst these conditions prevail.”