Iofina PLC (AIM:IOF, OTC:IOFNF) said it expects underlying profits for 2022 to be "materially" ahead of market forecasts and not less than US$10.5mln, as prices for iodine have been higher than expected.
Global demand for both iodine and iodine-based derivatives was strong throughout 2022, with prices rising during the first half and remaining high for the remainder of the year
Revenues for the year were in line with previous guidance,
“As a result, sales margins achieved by Iofina in the second half were robust and combined with our improved iodine production, the company delivered stronger second-half profitability than previously anticipated, “ Iofina said in a statement.
Iodine prices had remained steady at the start of 2023 with robust demand for its iodine and iodine derivatives, said the statement.
Additionally, Iofina said construction of its newest IOsorb iodine extraction plant, IO#9, is on track.
Tom Becker, chief executive, commented: "2022 was a year of significant progress for Iofina.
"Solid iodine production performance, higher prices and strong demand for iodine, and the beginning of construction of our newest plant IO#9 are all examples of the positive momentum that the company is carrying forward into 2023.
“We are excited about the commencement of production at our IO#9 plant later in the second quarter of 2023, which is anticipated to produce 100-150MT of crystalline iodine per annum."