Losses widen at home safety firm as it announces £6.1m share issue

Losses at Coventry-based home safety products supplier FireAngel have almost doubled in its year-end results for 2019.

The firm has reported a “challenging” year, and although revenues were up from £37.6m in 2018 to £45.5m last year, losses before tax jumped from £5.9m to £11m over the same period.

FireAngel has also announced a £6.1m placing to strengthen its balance sheet and introduce connected homes technology.

Despite the disappointing results, the company said it had made a “solid” start to 2020 with sales up 15% and gross profit up 39% on the first two months of 2019.

John Conoley, executive chairman of FireAngel, said: “The Group enters 2020 beginning to realise the promise of its investment in R&D for connected alarms.

“2019 was a challenging year with results continuing to be negatively impacted by legacy issues. We have addressed these issues and are taking action to improve gross margins which we expect will increase in 2020 and continue to do so in subsequent years.

“The opportunity presented by the growing demand for connected home solutions is significant and I look forward to the Group’s next phase of growth.”