Biome Technologies Releases Q3 Trading Update Friday, 4th November 2011
Trading Update
Group revenues were £15.3m in the nine months to 30 September 2011 (Q3 2010: £10.3m). This reflected a 110% increase in bioplastic sales made by the UK based Biome Bioplastics, a 34% increase in sales in Stanelco RF Technologies division and a 29% increase in third party sales at the Biotec joint venture. The Group's cash position at 30 September 2011 was £3.0m (30 June 2011: £3.6m).
Bioplastics Division
Revenues in the Bioplastics Division increased from £8.5m to £12.9m in the nine months to 30 September 2011. This was comprised of revenues of £5.3m at Biome Bioplastics and £7.6m from 3rd party sales at the Biotec joint venture in the period.
In the third quarter, Biotec revenues were £2.7m (Q3 2010: £1.7m) benefiting from further abatement of capacity constraints in the supply chain and allowing some stock build within the business. Biome Bioplastics has achieved substantial growth in 2011 compared to comparative quarters in 2010. Q3 sales were £1.7m (Q3 2010 £0.9m). We continue to expect some quarterly volatility as the market reacts to easing of supply constraints.
Stanelco RF Technologies Division
The Stanelco RF Technologies Division continues to perform in line with management expectations with revenues increasing by 34% to £2.4m in the nine months to 30 September 2011. Phasing of sales of furnaces has been skewed to H1 in 2011 and Q3 revenues were £0.6m, below the £0.8m of Q3 2010. Progress continues to be made in broadening the business reach in the industrial marketplace.
Outlook
Trading performance remains in line with the Board's expectations for the year and we are well placed to continue delivering on our strategy through the remainder of 2011 and into 2012.
