Biome Technologies Q&A: 48% revenue growth in bioplastics division (LON:BIOM)

Biome Technologies plc (LON:BIOM) Chief Executive Officer Paul Mines caught up with DirectorsTalk for an exclusive interview to discuss the 48% revenue increase in the bioplastics division, what will drive growth going forward, their Stanelco RF division, the recent fundraise and the appointment of a new CFO.

Q1: Biome Technologies’ quarter three trading update showed a 48% increase in revenues in your bioplastics division, that’s on the previous quarter and more than doubling on the previous year. Paul, what’s driven all this growth?

A1: It’s been a very exciting quarter and we’ve got revenues of £1.6 million in our bioplastics business.

The strength really has come from two areas, one materials for packaging that have been in the market for some time and have been growing strongly and then, on top of that, there’s been a rapid growth of materials that we’ve launched recently, particularly for coffee pod applications.

Q2: Paul, what are the trends for the bioplastics business? What projects or markets do you expect to drive growth going forward?

A2: I think the really encouraging thing is, despite the worldwide pandemic, the desire for environmental solutions such as compostable plastics remains really strong and feels to be growing.

We’re delighted to see not just our existing products doing well but there’s a pipeline of enquiries and development projects coming in from both the US and Europe. In particular, we’re seeing enquiries to work with both existing and a few new customers on our coffee filtration materials for filtering coffee and coffee pod and in flasks etc.

Right now, we’re deploying with one such customer in the USA and we expect revenues from that customer later this quarter.

Q3: Now your Stanelco RF division is still reporting modest revenues, are there any signs of pickups there?

A3: The rate at which telecoms companies can get fibre into the ground is very much being constrained by COVID-19 at the moment and this impacts the investments of our customers so I think, although in the long-term we can see this being a very vibrant market because of the very medium that we’re using to talk together now, but for now it remains tightly constrained.

We are picking up a few small orders from the more general UK industrial market but we believe business for this division will be subdued for some time to come.

Q4: Now, the recent £1.1 million fundraising has now been completed successfully. How are you deploying the funds?

A4: You’re right, that the money is now in the bank.

The fundraise is really about accelerating the growth of bioplastics over the next couple of years and this money gives us fuel in the tank to really tackle some of the larger enquiries and development opportunities I spoke of earlier. They’re coming in and, particularly from the US market and with this cash, it will give us the fuel for the resources, people, technical effort to really try and reel those opportunities in.

Q5: So, you also announced the appointment of Rob Smith as Biome Technologies’ new CFO, can you tell us a little bit more about Rob?

A5: Rob has got a broad depth of experience as a CFO of AIM-listed technology businesses so he comes with a good experience base. More than anything, through the me getting to know him over the last few months, he’s really got the drive and enthusiasm required to help us really grow the bioplastics business in the coming years. Myself, the rest of the team and the Board are really looking forward to working with him.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Facebook
X
LinkedIn
Biome Technologies

More articles like this

Biome Technologies

Bioplastics as a green alternative

Bioplastics are derived from renewable biomass sources like corn starch, sugarcane, and cellulose, offering an eco-friendly alternative to traditional petroleum-based plastics. They are often biodegradable or compostable, which reduces environmental impact and fossil fuel dependence. Unlike

Biome Technologies

Bioplastics are paving the way for a greener future

Bioplastics are emerging as a sustainable alternative to traditional plastics, offering a promising solution to the growing environmental challenges posed by conventional plastic products. Derived from renewable sources such as corn starch, sugarcane, and other plant

Biome Technologies

Sustainable alternatives to traditional plastics

Bioplastics have become an integral part of our society, offering sustainable alternatives to traditional plastics. This article explores the advantages, production processes, and various applications of different bioplastic materials, shedding light on their environmental benefits. As

Biome Technologies

Eco-friendly packaging solutions

Eco-friendly packaging solutions Global plastic production exceeded 390 million tons in 2021, with 44% used for packaging, prompting the food industry to seek sustainable alternatives. Researchers are exploring innovative bioplastics that are compostable and plant-based materials

Biome Technologies

Bioplastics sector thrives with Biome Technologies leading the way

The bioplastics sector is experiencing significant growth, driven by increased awareness of environmental sustainability and the urgent need to reduce dependence on fossil fuels. This industry, which focuses on the development and production of biodegradable and

Biome Technologies

The future of eco-friendly packaging

In recent years, sustainability and environmental responsibility have become central topics of discussion. A term that frequently emerges in these conversations is “bioplastics.” But what exactly are bioplastics, and how do they contribute to a more

Biome Technologies

Exploring the potential of Bioplastics

Bioplastics, derived from renewable materials like corn or vegetable oils, offer an eco-friendly alternative to traditional plastics made from fossil fuels. One of their significant advantages is their potential to break down more easily, reducing waste

Biome Technologies

Biome Technologies Appoints Paul Elswood as Interim CFO

Biome Technologies, a business specialising in bioplastics and radio frequency technology, has appointed a new interim chief financial officer. Paul Elswood, a senior financial executive qualified by the Chartered Institute of Management Accountants, has joined the

Biome Technologies

Bioplastics: Paving the way for sustainable manufacturing

In an era where sustainability is paramount, bioplastics present a promising alternative to traditional plastics derived from fossil fuels, utilised by numerous industries and organisations worldwide. But what exactly are bioplastics, and how are they transforming

Biome Technologies

Bioplastics are paving the way to Sustainable Packaging

The packaging industry is increasingly moving towards sustainability due to growing environmental concerns such as plastic pollution and greenhouse gas emissions. Awareness of the long-term impact of single-use plastics on ecosystems and wildlife has heightened. As

Biome Technologies

Biome Technologies AGM will be held on 29 May 2024

Biome Technologies plc (LON:BIOM), a leading bioplastics and radio frequency technology business, has announced that the Annual General Meeting of the Company will be held on 29 May 2024 at 09:30 am at the offices of Allenby Capital