Byotrol makes good progress and a £4.5m acquisition
Hygiene specialist Byotrol enjoyed “a year of good progress”, it reported in its latest annual results to March 31.
The Daresbury-based company also announced the £4.5m acquisition of Kent-based Medimark Scientific.
Byotrol managed a small increase in revenues, from £3.127m to £3.140m, and an almost doubling of pre-tax losses, from £126,427 to £244,939.
However, chief executive David Traynor said it had managed to record its second consecutive profit at EBITDA level, after including R&D tax credits.
EBITDA was “significantly ahead of expectations,” the company said.
The firm’s financial strength was improved by a £4.6m equity capital raising in September, 2017, and net cash at the year end stood at £3.9m, compared with £951,000 the previous year.
Today’s statement said Byotrol now has “more than sufficient resources” to pursue its growth strategy.
In May this year the AIM-listed anti-microbial technology firm revealed it had received approval for its germ-killing product in the US, known as Byotrol24, and received its first orders to retail on online giant Amazon.
It is one of three strategic initiatives being followed by the company.
Its Actizone initiative has been restructured, generating immediate cash from an IP sale, while retaining a substantial future upside for less resource input.
Byotrol24 is now under trial, which has been extended beyond the initial 10-week expected period.
And the firm’s alcohol-free hand sanitisers are now being sold into NHS and adjacent markets. There is substantial customer interest but resource requirements are higher and sales are slower than expected, the firm admitted.
The consumer and petcare segments are performing to plan, with significant growth opportunities, although the professional segment is behind plan, with new propositions now being developed and new alliance partners being sought.
Sevenoaks-based Medimark Scientific provides biocide-based infection control products into the animal and human healthcare markets.
It employs 14 staff and in the year to March 31, reported adjusted EBITDA of £380,000 on revenues of £2.7m.
There is an existing and long-standing relationship already in place between the two companies – Byotrol is currently a white label supplier of hand sanitisers to Medimark, which it sells under its Esense brand.
Commenting on the results and prospects, Byotrol chief executive David Traynor said: “This was another year of good progress, with further-improved operations and finances and our second ever profit at EBITDA level after including R&D tax credits.
“We continue with our excellent-science, technology-based strategy and are very confident in growth at home and overseas as the biocide regulatory changes bite.”