Symphony Environmental Technologies plc (LON:SYM) has reported solid revenue growth in the first half of the year as its d2p anti-microbial plastic products began to contribute to its balance sheet.
In a trading update, the AIM-listed plastics manufacturer said group revenues for the period had increased 11% to £4.1mln, with revenues for its biodegradable d2w product range flat at £3.6mln while its d2p anti-microbial plastics range contributed £0.5mln, up from zero revenue in the same period last year.
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The group said the flat revenues for its d2w division were attributable to depreciation in the US dollar, adding that on a constant currency basis revenue would have been 11% higher, as well as “significantly” reduced sales in its main Middle East market in June due to the Ramadan and Eid periods.
In terms of its expenses, the company said sales and marketing expense had increased by around £0.2mln in the period, in line with management expectations, while it had ended the period with a net cash balance of £0.6mln.
Looking ahead, Symphony said it was confident of meeting market expectations for the full year.
Michael Laurier, chief executive of Symphony Environmental, said momentum from earlier in the year had continued despite the sales slowdown in the Middle East, adding that the group’s Italian market for its d2p products was “progressing strongly”.
He added that the board viewed the current period as “pivotal, with growing demand for our suite of technologies”, and expected to sell “record volumes” of both the d2w and d2p products in the current year.