The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Windar Photonics plc("Windar" or the "Company")
Final Results and Notice of Annual General MeetingWindar Photonics plc (AIM:WPHO), the technology group that has developed a cost efficient and innovative LiDAR wind sensor for use on electricity generating wind turbines, is pleased to announce its final results for the year ended 31 December 2016.
FY2016 HighlightsRevenue growth in 2016 of 26 per cent to €1.2 million (2015: €0.9 million), after deferring
€0.2m of revenue due to the timing of deliveries. Actual despatches in 2016 amounted to
€1.4m, an increase on 2015 of 48%
Gross profit increased by 113 per cent to €0.6 million (2015: €0.3 million)
The Group held cash balances at the end of the year of €783,166 (2015: €593,907) Current cash and debtors, net of factoring, is in excess of €600,000
Good progress with several of our OEM test programmes edging closer to turbine platform design contracts with a potential to have a significant impact on the Company's prospects and activity level
Expanded product features to include detection of Turbulence Intensity, Wind Shear Intensity and Wake Intensity, adding additional wind turbine optimisation opportunities
Implemented a new strategic approach to the IPP market segment by appointing seven new non-exclusive distributors to increase our market presence and at the same time reduce operating expenditure
Reduction of the loss from operations in 2016 due to cost reduction in the second half of 2016
Further equity support received during the year of £1.9 million
Post period highlightsAcceleration of revenue growth from 2016 with revenue and new orders as per the end of April 2017 already exceeding the full year revenue in 2016
Further increased our non-exclusive distribution network to include 15 distributors worldwide at the end of May 2017
Continued reduction of the loss from operation in 2017 due to increased revenue and further reductions at the operating expenditure level
"2016 was a year with many challenges but at the same time many opportunities. We added important new capabilities to our product range opening up even further wind turbine optimisation opportunities using our products, and even though not contributing to our overall revenue growth in 2016, we made significant progress within several OEM test programmes in the year. These programmes are essential to supporting our long term revenue targets. Within the IPP market segment we also made important progress in 2016 which has continued into 2017 where we have seen strong growth especially in Asia. In the second half of 2016 we reviewed our overall
operating expenses in the Group, which is the primary reason for the improved operational performance in the second half of 2016 which improvements have continued in 2017.
The Company is now looking to build upon its proven technology and pipeline of opportunities and is pleased with the progress made already in 2017. The Board remains confident for 2017 and for the future."
Notice of Annual General MeetingWindar also today gives notice that its Annual General Meeting ("AGM") will be held at the offices of Cantor Fitzgerald Europe, One Churchill Place, Canary Wharf, London E14 5RB at 10.00 a.m. on 5 July 2017.
The Annual Report and Accounts and Notice of AGM will be posted to shareholders today and will be available shortly from the Company's website, www.windarphotonics.com.
For further information:Windar Photonics plc | Jørgen Korsgaard Jensen, CEO | +45 24344930 |
Cantor Fitzgerald Europe Nominated Adviser and Broker | Andrew Craig Richard Salmond | +44 20 7894 7000 |
Dear Shareholders,
For the full year ending 31 December 2016, the Group achieved revenue of €1.2 million (2015
€0.9 million) after deferring €0.2m of revenue due to the timing of deliveries. Actual despatches in 2016 amounted to €1.4m, an increase on 2015 of 48%.
We also achieved a reduction in our net loss for the year to €3.2 million (2015 €3.8 million) which included depreciation, amortisation and warrant costs of €0.7 million (2015 €0.7 million). The net loss for the second half of 2016 was reduced sharply compared to the same period in 2015 to a net loss of €1.3 million (2015 €2.3 million).
The Group held cash balances at the end of the year of €783,166 (2015: €593,907).
During the year the Group raised £1.9 million before expenses in three tranches. In addition to the capital raising during the year the Group put in place a factoring facility with an initial facility of up to €400,000 with an intention to increase the facility up to €1.5 million, as the Group made further progress with orders. At the year end the Group had drawn down €239,528 from this facility. The Group is also pleased to have financed the sale of 20 LiDAR units in China with Denmark's export credit agency, Eksport Kredit Fonden ("EKF").
In 2015 the Group successfully completed the development of its WindVision™ systems (four beam LiDAR system), to sit alongside the proven two beam WindEye™ LiDAR system. This development work included the introduction of new electronic and beam switching technology platforms. In 2016 we successfully completed the migration of that same technology platform into our existing WindEye™ product line, which has aligned and simplified all of Windar's products.
In the second half of 2016 the Group concentrated its development resources towards wind turbine integration and turbine optimisation solutions. By far the most important development in 2016 was the start of our new wake detection and turbine optimisation programme launched in
conjunction with several International Research Institutes. This has already led to new orders and test programmes initiated with both existing and new OEM and IPP customers for both our WindEye™ and WindVision™ systems. The Wake detection and turbine optimisation programme is financially supported by an Energy Technology Development and Demonstration Program ("EUDP") in conjunction with the project partner Danish Technological University, Department of Wind Energy and includes a combined cash grant of €1.0 million over the coming 24 months that is to be split equally between the project partners.
Having initially focused on measuring Wind Direction for optimising Turbine Yaw misalignment, today our product range includes detection of Wind Speed, Wind Gust, Turbulence Intensity, Wind Shear intensity and the above-mentioned Wake Intensity bringing additional opportunities for various turbine optimisation. These additional capabilities (obtained without increasing the cost base of our products) have positioned us favourably with both the OEM and IPP market segments and is expected to support our future growth expectations.
The Group has capitalised its continued cost of investment in technology during the year. This amounts to €474,435 (2015: €570,087) before grants of €48,420 (2015: €261,065).
Given our stable and strong LiDAR product platforms, which are increasingly being integrated directly into turbine operating systems, we believe we are well placed to further our progress in both the Original Equipment Turbine Manufacturer ("OEMs") market and also with Independent Power Producers and Wind Farm Owners ("IPPs") with validation and support from the turbine manufacturers.
During 2016 the Group made very important progress in respect of test projects with several major OEMs. Some of these projects have now been ongoing for more than two years, and based on some of these test projects the Board do expect to realise turbine design wins with Windar's LiDAR technology included in the near future. The development of these discussions to the follow-on contract stage are likely to have a significant effect on the Group's prospects and activity levels.
During the second half of 2016 the Group changed its general sales and marketing approach to focus primarily on the IPP market. A key part of the strategic change has been to establish an external non-exclusive regional, distribution network for the Group's LiDAR based products. At the end of 2016 we had entered into seven regional distribution agreements globally and the network has since been expanded to fifteen at the end of May 2017. This strategic approach is intended to increase our global market presence while reducing our overall operating expenses. We have already seen positive signs that this approach is working, with initial orders being received from certain of our partners and their clients, and the Board expects to see the further positive results of this strategic change with increased IPP market penetration in 2017.
2017 has started well with total order intake during the first four months of the year showing an accelerated growth over 2016.
Overall, the Group remains very confident for 2017 and the future, and I would like to take the opportunity to thank the management and staff for their efforts in 2016.
John Weston Chairman
Date 8 June 2017
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2016. | Year ended 31 December 2016 | Year ended 31 December 2015 | |
€ | € | ||
Note | |||
Revenue | 4 | 1,196,037 | 945,905 |
Cost of goods sold | (627,255) | (678,524) | |
Gross profit | 568,782 | 267,381 | |
Administrative expenses | (3,804,798) | (3,850,187) | |
Administrative expenses - Costs in respect of the Introduction and Listing on AIM | - | (222,634) | |
Other operating income | 69,074 | - | |
Loss from operations | (3,166,942) | (3,850,440) | |
Finance expenses | 6 | (106,882) | (100,211) |
Loss before taxation | (3,273,824) | (3,905,651) | |
Taxation | 7 | 128,109 | 120,524 |
Loss for the year | (3,145,715) | (3,785,127) | |
Other comprehensive income | |||
Items that will or may be reclassified to profit or loss: | |||
Exchange (losses)/gains arising on translation of foreign operations | (22,087) | 351 | |
Total comprehensive loss for the year attributable to the ordinary equity holders of Windar Photonics plc | (3,167,802) | (3,784,776) | |
Loss per share attributable to the ordinary equity holders of Windar Photonics plc | |||
Basic and diluted, cents per share | 8 | (0.08) | (0.10) |
31 December 2016 | 31 December 2015 |
€ | € |
Note | |
Assets | |
Non-current assets |
Windar Photonics plc published this content on 09 June 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 12 June 2017 10:33:15 UTC.
Original documenthttp://investor.windarphotonics.com/wp-content/uploads/2017/06/WINDAR-PHOTONICS-PLC-FINAL-RESULTS-2017.pdf
Public permalinkhttp://www.publicnow.com/view/4011753A51825ABBB10A0C9B22C0F3D26939AEAA