www.tyratech.com
TyraTech Inc develops and commercializes efficacious proprietary insecticide and parasiticide products which incorporate unique blends of natural active ingredients. TyraTech's product array addresses a diversity of pesticide market opportunities that include consumers, commercial, professional pest control, agriculture, horticulture, human and animal health, vector control and livestock and dairy markets.
TyraTech Nature's Technology enables rapid characterization of potent mixtures of plant oil pesticides (insecticides and parasiticides). Natural plant oils are known to have various degrees of pesticidal activity, but historically have not been as effective as synthetic-chemical based products, until now.
TyraTech’s narrowing losses in 2009 provide strong platform for growth
In its results statement for the year ended 31 December 2009, TyraTech (AIM: TYR) said it has demonstrated the commercial value of its technology, with the launch of the company’s first Terminix International joint-development product into consumer markets. Consequently, TyraTech achieved product revenue growth and reduced costs by a third to report a significantly improved financial performance in 2009. The company reduced its net pre-tax loss to US$12.9m, down from US$17.4m in the previous year.
TyraTech develops and commercialises pesticides based on natural, plant oil derived active ingredients.
"2009 has been a year of development and we now have a solid platform for future growth and revenue generation”, TyraTech executive chairman Alan Reade commented. “We are confident of our ability to take this technology to market with products that our partners can commercialise. Furthermore, we are committed to leveraging these products into other markets and creating significant shareholder value over the coming years”.
In the twelve month period, TyraTech achieved considerable product revenue growth to US$2.9m compared to US$1 mln 2008, although overall revenues were consistent with the previous year at US$5.9m. The company reduced overall operating costs by a third to US$13.7m, compared to US$20.4m last year. TyraTech had cash and cash equivalents reduced to US$1.3 million, as a result of funding the operating loss from increasing working capital.
From an operational perspective, TyraTech enjoyed a busy year, with the successful launch of the Terminix SafeShield product into the North American consumer market, through its partnership with Terminix International. Moreover two other joint-development products, Terminix Natural Pest Control Contact Insecticide and Terminix Natural Drain Fly Killer, were launched into institutional, commercial and government markets.
The company also made progress with its other commercial development partners, with the fulfilment of development milestones with both Kraft Foods (NYSE: KFT) and Arysta. TyraTech also establish two new partnerships, with Clarke Mosquito Control and with Chemplast International.
TyraTech said that Kraft continues to be a highly valuable and committed partner, and the partnership has made important and very positive technical strides during the year. The progress being made in collaboration with the major US conglomerate reinforces TyraTech’s confidence in the human uses of its platform. Furthermore the company believes the progress confirms that there is also an opportunity for this technology in other markets, such as animal functional food.
Elsewhere, the company’s Arysta partnership produced its first crop protection product, Shooter, based on TyraTech Nature technology, to provide an ‘Eco-Responsive’ approach to insect control in commercial agriculture to be launched in 2010.
Under the new strategic partnership with Clarke Mosquito Control, TyraTech grants the privately-owned company the exclusive rights to develop, market and sell new products, based on TyraTech Natural technology for the US vector control market. The deal also grants non-exclusive access to the develop these products in a range of other countries.
The newly formed TyraTech-Chemplast joint venture, TyraChem, is developing and commercialising pesticide products, based on TyraTech's proprietary technology for the banana, plantain and pineapple market.
Since 31 December, TyraTech has signed a new and exclusive strategic agreement with Terminix International, which built on their existing relationship and extended the partnership through 2013.
The new agreement has a broader scope, expanding key markets to include the US consumer sector, professional pest control, commercial, and government clients. Previously the partnership was focused on exploiting TyraTech's technology platform for the residential and commercial pest control markets in the US.
The company also noted a substantial increase in first order volume, compared to 2009 volume, for SafeShield in February 2010.
Looking ahead, the company said it is confident in its technology, and It has a solid platform for future growth and revenue generation. According to TyraTech, its strong and experienced team is focused on medium term profitability.
