Delays in getting a contract with a new customer finalised by the year-end have hit revenues at implant and tissue supply group Collagen Solutions PLC (LON:COS).
Sales for the year to 31 March will be £3.5mln (2017:£3.9mln), with the lower revenues also meaning losses will be greater than expected.
READ: Collagen Solutions to refocus New Zealand operation
Collagen cautioned last week about one-off costs due to a restructuring of its operation in New Zealand, though these losses will be offset partially by a reverse of earn-out provisions.
Group cash balances at the year-end were approximately £5mln (2017: £9mln).
Jamal Rushdy, chief executive, said: "While we have experienced protracted sales cycles across several parts of our business, the size and general nature of those contracts under negotiation is promising.
“Together with the recently announced measures aimed at rationalising the company's cost structure, we now aim to be cash flow positive in the final quarter of the current financial year," he said, adding the company intends to strengthen its commercial team.