Kromek Group PLC (LON:KMK), the maker of radiation detection technology used in medical devices and security, said it is seeing a “step change” across the business with revenues expected grow 40% in the current year – in line with previous forecasts.
The company, headquartered in Durham, is now reaping the rewards of two years hard work as it is delivering the orders it has generated in that time.
In medical imaging, where its technology is incorporated into diagnostic systems, it has secured a £9.8mln (US$12.6mln), five-year contract along with a number of other deals, while the security operation has hammered down a separate five-year deal, this time worth least £2.4mln (US$3.1mln).
Nuclear detection doing well
Kromek’s nuclear detection business, meanwhile, has delivered 10,000 of its D3S radiation units to the US Defense Research Projects Agency’s Sigma project, which is there to head off the threat of nuclear terrorism. The order is a huge tick in the box of the company’s devices, analysts said.
In January it raised £21mln from investors which has allowed it to tap into the huge market opportunities and to invest in research and development, which keeps the company at the cutting edge of radiation technology.
In the year ended April 30 Kromek generated revenues of £8.7mln, up from £8.3mln. As might be expected from a business setting out on the commercial phase of its development, it was loss-making – to the tune of £1.5mln.
High performance radiation detection
The company is the developer of high performance radiation detection products based on cadmium zinc telluride and other advanced technologies.
Using its core platforms, Kromek designs, develops and produces x-ray and gamma photon imaging and radiation detection products for the medical, security screening and nuclear markets.
They provide high resolution information on material composition and structure.
This means they can be used in many applications, ranging from the identification of cancerous tissues to hazardous materials, such as explosives, and the analysis of radioactive materials.
Kromek operates a vertically integrated technology. What this means practically is it offers customers core technology components as well finished products such detectors, including software, electronics and application specific integrated circuits.
While based in the north-east, the business, which employs 100, has operations in California and Pennsylvania and sells internationally through distributors and direct to manufacturers.