Transense Technologies plc
("Transense" or the "Company")
Transense Technologies plc, the provider of sensor systems for the industrial, mining and transportation markets, is pleased to provide a trading update for the year ended 30 June 2019.
Revenues in the second half of the year showed continued improvement, such that full year revenues were ahead of previous board expectations at approximately £2.20m (FY18: £2.05m). In particular, subscription income arising from large mining haul trucks using Translogik's iTrack II tyre monitoring system continued to gather considerable momentum reaching approximately £0.98m for the full year (FY18: £0.61m).
Overheads have remained closely controlled, and accordingly the loss for the year ended 30 June 2019, both EBITDA loss and Loss After Tax, will be better than the board's previous expectations.
The Group closed the year with net cash balances of £2.6m (FY18: £1.6m).
In February 2019, the Company announced an initial order with a new customer that is a major supplier to the mining marketplace. Since that announcement and sale, additional revenues have been generated in North America predominately for the provision of iTrack II support services to the new customer. We continue to work closely with the customer and believe that this activity offers the potential for significant future growth.
Revenues from Translogik probes saw a disappointing reduction from previous record levels, partly as a result of reduced promotional activity reflecting spend control prior to the Company's placing announced in March 2019. We anticipate some degree of recovery in the current financial year.
The selection of GE by the US army for their endeavour to re-engine part of their helicopter fleet announced in February 2019 was a strong endorsement of our technology and we are now working closely with GE to find additional areas where this technology can be further exploited.
Graham Storey, CEO of Transense, commented: "We have continued to make good progress with subscription income from iTrack II from both new and existing customers, and consider future prospects to be very positive. Revenues from Probe and SAWSense have fallen during the period, however the level of activity remains encouraging. We look forward to providing a further update with our forthcoming final results."
All FY19 financials disclosed above are unaudited.
Transense Technologies plc
Graham Storey, Chief Executive
Tel: +44 (0) 1869 238380
Ed Frisby, Giles Rolls, Matthew Radley (Corporate Finance)
Tim Redfern, Manasa Patil (ECM)
Tel: +44 (0) 20 7220 0500
Tim Metcalfe, Graham Herring, Heather Armstrong
Tel: +44 (0) 20 3934 6630
About iTrack II
The iTrack II Mining system provides real-time data on the condition of the tyres, combined with live tracking of vehicle location and status. Our 24/7 Control Room monitors the pressures and temperatures live, and this information can, for example, be used to ensure tyres do not exceed critical heat thresholds, to detect incorrect load distributions, predict suspension failures and eliminate manual tyre pressure checks. The Directors believe that these benefits maximise the hours a truck is working (Truck Uptime) and improve productivity by minimising maintenance requirements and using data to identify underperforming trucks.
About Transense Technologies
Based in Oxfordshire, UK, Transense has developed patent-protected sensor systems and supporting technology for use in a variety of diverse high growth markets. The Directors believe that Transense's Surface Acoustic Wave (SAW), wireless, battery-less, sensor systems offer advantages over legacy wireless sensor systems. Transense is targeting the transport and mining industries, and the global torque, temperature and pressure sensing markets, via its trading divisions, Translogik and SAWSense.
Transense's shares are admitted to trading on AIM (AIM: TRT).
The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.
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Market Cap: £12.48 m
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