Graphene-based products supplier Directa Plus Plc (LON:DCTA) returned to revenue growth in 2017.
In 2017, the group increased its focus on fulfilling near-term opportunities in the smart textiles and environmental markets, and was rewarded by seeing its customer list more than double to 35 active customers from 16 the year before.
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Total income increased by more than 50% to €1.23mln in 2017 compared to €0.82mln in 2016, with revenue from the sale of graphene-based products and services increasing by 29% to €0.95mln.
The group expects to generate increased revenues from these active clients in 2018 while other prospective clients are expected to move beyond the sampling stage.
Directa maintained its investment in its continuous improvement project to enable a substantial increase in production capacity and efficiency. The group is now able to produce 30 tonnes per annum of pristine, chemical-free graphene-based material and has a proven process to easily scale our production capacity to match the higher tonnages that it expects will eventually be needed by its customers.
The underlying loss (LBITDA) for the year narrowed to €3.16mln compared with €3.67mln loss for 2016, primarily due to increased income and lower bad debt expenses.
The group ended the year with cash and cash equivalents of €6.9mln, down from €10.6mln at the end of 2016.
“We believe that we have established at least an 18 - 24 month clear lead over our competitors based on our proprietary chemical-free manufacturing process and significant customer engagement,” declared Giulio Cesareo, the chief executive officer of Directa Plus.
"We are excited about Directa Plus's commercial prospects in the coming year. While the textile and environmental markets are expected to continue to be the main contributors to revenue, we expect to experience strong growth in activity within our other two target markets of composite materials and elastomers. As a result, we anticipate increased revenue generation from our active clients and with more customers preparing to launch products incorporating G+, the business is well-placed to deliver significant year-on-year growth in 2018 in line with market expectations," he added.
In a separate announcement, Directa Plus said non-executive director Luca Lodi-Rizzini has resigned from the board for personal reasons.