() () described first-half sales of its lead product as “most encouraging” as it provided a comprehensive update in which it said trading was in line with expectations.
Revenue for the six months ended June 30 was up 13% at U$3.5mln.
Sales of Harpin αβ, its bio-stimulant product, were US$2.4mln, ahead 26% year on year. The strongest regional performance came from Europe, the Middle East, Africa and Australia, where top-line growth was 79%.
“Sales in Europe grew strongly, particularly in citrus in Spain and in potatoes and the turf market in the UK,” said CEO, Dr Christopher Richards.
“In Brazil, in-market sales of H2Copla have been held back by drought and limitations on the company’s technical promotion effort caused by the latest wave of Covid-19. Sales in Mexico were held back by low export prices and COVID-19.”
Investors were also told that gross margins dipped three percentage points to 56% due to currency effects, while operating expenses for the period rose 18% to US$4.7mln.
That said, cash used in operations for the six months fell 29% to US$1.5mln, while the group ended the period with just over US$11mln in the bank after a successful City fundraiser in March.
“The board intends to maintain a conservative approach to cash management, targeting cash breakeven within existing cash reserves,” Richards said.