Versarien Plc (LON:VRS), the advanced engineering materials group, has announced its audited results for the 18 months ended 30 September 2022. The comparative figures are for the 12 month period ended 31 March 2021.
Financial Highlights
| • | Group revenues from continuing operations of £11.1 million (2021: £5.7 million)* |
| • | Graphene revenues of £2.1 million (2021: £0.7 million) |
| • | Adjusted LBITDA** for continuing operations of £2.4 million (2021: £1.9 million) |
| • | Reported loss before tax from continuing operations of £8.3 million (2021: £8.1 million) |
| • | Reported loss for the period of £8.4 million (2021: £8.1 million) |
| • | Cash of £1.4 million at 30 September 2022 (31 March 2021: £2.4 million) |
* Excludes discontinued revenues of £0.5 million (2021: £0.9 million)
** Adjusted LBITDA (Loss Before Interest, Tax, Depreciation and Amortisation and excludes Exceptional items, Share-based payment charges and losses relating to the fair value assessment of the Lanstead sharing agreements)
Operational/Manufacturing Highlights
| • | Relocation to new dedicated graphene production facility in Longhope, Gloucestershire, to significantly expand capacity |
| • | 10,000 square foot floor slab laid for new Versarien innovation centre using the Company’s CementeneTM and PolygreneTM enhanced concrete |
| • | Acquisition of Spanish graphene manufacturing assets transferred to Longhope during the year and in process of commissioning to provide up to an additional 100 tonne powder capacity per annum |
| • | Equipment to scale up graphene ink production capacity by an additional 12,000 litres per annum delivered and commissioned |
| • | Non-core aluminium business discontinued to concentrate on graphene production |
Partnerships/Commercialisation Highlights
| • | Umbro to integrate Graphene-WearTM into its Elite-Pro-Training Kit range for 2023 Spring/Summer collection |
| • | GoToGym in South America launching active-wear incorporating Versarien’s Graphene-WearTM technology |
| • | BiaBrazil to integrate Graphene-WearTM into its sports and active wear ranges |
| • | Commercial agreement signed with Superdry to produce graphene enhanced garments and discussions ongoing with multiple other garment suppliers |
| • | Global construction companies beginning to trial CementeneTM in-house |
| • | Grant agreement signed and project completed to support the development of Pseudo-Capacitor technology aimed at zero emissions for port-side infrastructure |
| • | Successful on-time delivery of Defence Science and Technology Laboratory (“DSTL”) contract within specification |
| • | Collaboration signed with US-based Flux Footwear, an adaptive footwear company, to supply graphene enhanced elastomers |
| • | 10 new product demonstrators launched in the period |
Funding Highlights
| • | £1.93 million strategic investment in Versarien by GrapheneLab Co. Ltd., South Korea, together with royalty and trademark agreements |
| • | £1.85 million (gross) raised via equity placing post period-end |
Neill Ricketts, CEO of Versarien, commented:
“The extended 18-month period has seen both successes and challenges, with the first 12-months seeing the financial benefits from the DSTL contract which focussed on understanding the advantages that graphene-loaded materials may bring to defence applications. In the period we also successfully completed the GSCALE development stage of the project despite the macro‑economic challenges faced and the Company is now focussing on the most advanced Technology Readiness Level stage projects of construction and textiles.
“We remain confident of the environmental and commercial benefits our graphene technology can bring, but the current macro-economic conditions combined with the disruptive nature of our products has delayed the commercialisation we were anticipating. Consequently, we are streamlining the business and focusing on our primary opportunities in construction and textiles. We will continue to seek grant funding to support our operations, but will also need the continuing support of investors, either strategic or from the capital markets, to fund the business until such time as the graphene market gains traction and material commercial revenues flow.
“We look forward to updating the market on progress in due course.”
