Spectra Systems Corporation (AIM:SPSY, OTC:SCTQ), a specialist in machine-readable high-speed banknote authentication, said it is on track for a record year after a strong financial performance for the 12 months ended 31 December 2022.
Revenues of US$19.6mln grew by 18%, resulting in underlying earnings (EBITDA) of US$8.1mln, up 17%.
Cash generated during the period was just over US$8mln, while the group has rewarded investors with an enhanced 11.5 cents a share dividend. It also bought back 500,000 shares.
Looking ahead, chief executive officer Nabil Lawandy said the company was “on track to achieve record earnings and meet market expectations for 2023".
On the year just gone, he added: “Company's earnings and revenues are up substantially over 2021 both due to strong sales which would enable the company to exceed market expectations and which were further increased due to over-manufacturing of covert materials for a Central Bank.
“Improved financial planning has been put in place for 2023. Our cash position remains strong due to sensor development milestones and prepayments as well as additional sales in optical and covert materials.
“In addition, information from one of our major licensees, as well as improved visibility on current sensor life, has allowed us to write-off inventory which we anticipate will not contribute to future sales.”