Nanoco Group plc (LON:NANO), a world leader in the development and manufacture of cadmium-free quantum dots and other specific nanomaterials emanating from its technology platform, has announced unaudited Interim Results for the half year ended 31 January 2021.
· Achieved all technical and commercial milestones on important development project for sensing materials
· Business restructuring completed during the Period to reduce monthly cash costs
· Trial date for the alleged wilful infringement of the Group’s IP by Samsung set for October 2021
· Secured Innovate UK grant of £0.8m for research on rapid diagnostic test platform for pathogens (including Covid-19)
· Customer focused operations maintained on a ‘Covid-secure’ basis to protect staff safety
· Revenue of £1.0m (H1 FY20: £2.9m with prior year largely due to final US Customer deliverables)
· Small increase in adjusted LBITDA to £1.5m (H1 FY20: loss £1.1m) reflecting cost savings
· Average monthly cash burn £0.4m (H1 FY20: £0.7m) during the Period
· Cash runway to H2 2022, with contingency plans in place if required
Brian Tenner, Chief Executive Officer of Nanoco Group plc, said:
“Significant growth in mega-trends in electronics, automation and the Internet of Things creates a very promising commercial background for our value enhancing nano-materials that add significant capability to the sensors used in these fields.
“During the period we successfully delivered all technical and commercial milestones in our important development project for sensing materials which is further validation of our capabilities in developing and applying novel nano-materials. We continue to work with this important customer and negotiations are ongoing on the potential next phase of our work together. We have also seen growing interest in a number of different materials covering a wide range of wavelengths and commercial market applications and are now engaged in exciting research and development activities with additional new customers in these areas.
“We have continued our focus on cash and cost control. We completed a small scale restructuring during the Period and our gross monthly cash cost base has now stabilised in line with expectations. We have successfully maintained our core capabilities including our ability to move to commercial manufacture of material on a large scale at our Runcorn facility in the medium term.
“Our lawsuit against Samsung for the alleged wilful infringement of Nanoco’s IP is progressing well and we are pleased that a trial date has been set for October 2021. We will review the final written report from the Judge presiding over the recent claim construction hearing when it becomes available. At this stage, we are pleased with the progress of the litigation process and the initial indications arising from the Markman hearing, adding to our confidence in the strength of our position.
“The Board strongly believes in the value that can be generated from our organic business. Moreover, although there can be no certainty as to the outcome, the Samsung litigation could result in a very substantial settlement in our favour. While there is much work to be done in the short term, the prospects are improving for significantly enhancing shareholder value in the medium term.”
Analyst meeting and webcast details
A conference call and webcast for analysts will be held at 10:00am (UK time) this morning (30 March 2021):
Dial in: +44 (0)330 336 9434
For further details please contact MHP Communications on 0203 128 8778 or at firstname.lastname@example.org
A recording of the webcast will also be made available on Nanoco’s website www.nanocotechnologies.com, later today.