Ilika plc (LON:IKA), a pioneer in solid-state battery technology, has announced its unaudited half yearly report for the six months ended 31 October 2020, during which the Company has continued to make strong progress with the implementation of its Stereax commercialisation plans, and set out a clear pathway to increased production, revenue generation and cash flow break even.
Operating Highlights
Ilika has continued to develop and commercialise its thin-film Stereax® miniature solid-state batteries for powering medical devices and industrial wireless sensors (IIoT) in hostile environments, as well as progressing its development of large-format Goliath cells for electric vehicles (EV) and cordless appliances.
· Continued engagement with portfolio of Stereax customers from the IIoT and medical device sectors
· Completion of an over-subscribed £15m ($20m) equity placing, providing working capital to support operations until the Company reaches cash flow break even
· Signed a framework agreement with the UK Battery Industrialisation Centre (UKBIC) for the production of Goliath solid-state pouch cells, targeting growth production 1kWh per week to 5 MWh per week by 2024
· Executed a portfolio of three collaborative projects supported by the UK Government’s Faraday Battery Challenge, supported by £5.2m grant funding enabling work on rapid charging with Honda and Ricardo, battery packs for high performance vehicles with McLaren and cost-effective routes for the mass production of Goliath cells with JaguarLandRover
Financial Summary
· Total revenue for the period £1.3m (H1 2019: £1.5m)
· Loss per share 1p (H1 2019: 1p loss per share)
· EBITDA loss £1.0m (H1 2019: £1.0m loss)
· Cash balance at period end £12.4m (H1 2019: £1.9m)
Post Period end
· Concluded its assessment of various Stereax manufacturing options, demonstrating that the most efficient and cost-effective solution will be to establish its own manufacturing operation
· Confirmed that the key Stereax production tools, which are on order, are expected to be installed during May-July 2021, with manufacturing commencing after equipment and process qualification activities in the second half of 2021
- This will result in a 70x increase in Stereax production capacity by the end of the 2021 calendar year
Commenting on the results Graeme Purdy, CEO of Ilika, said: “Despite unprecedented disruption to the Company’s supply chain and operations in the first half of this financial year, we have continued to make strong progress with the implementation of our Stereax commercialisation plans. Although demand for Stereax is outstripping our current ability to supply from the pilot line, we are continuing to engage with customers to ensure we understand how demand can be extended, and ramped up further over the coming years. It has also been exciting to contribute to the relentless improvement in performance of our Goliath large format cells and to engage with the UK Battery Industrialisation Centre to plan their scale-up.”
