Kiotech year end results announced; Agil Appointed Distributor
Kiotech, the UK stock market listed company behind the Aquatice pheremone fish feeding attractant Aquatice has published its year end financial results.
Trials of Kiotech’s fish feeding attractant product Aquatice, which were undertaken recently under the supervision of UK Govt Agency CEFAS (the Centre for Environment, Fisheries and Aquaculture Science) and part of DEFRA, have shown very encouraging results and can significantly increase production, under commercial conditions, and benefit both the fish farmer and the environment.
As a result of these trials Kiotech and CEFAS, are in the process of registering the products for use in China (world’s largest aquaculture market), the European Union and elsewhere. They expect final registration approvals for China to be granted within the next two years.
Key operational points from the preliminary results statement for the year ended 31 December 2006.
Key points: Financial
· Pre tax loss cut to £287,000 (2005: £697,000, restated as £602,000)
· Cash balance of £1.3 million at year end
· Acquired Agil for total consideration of £5.5 million in November 2006
· Raised £5.295 million, before expenses, to fund acquisition
· Central costs reduced through outsourcing services
Key points: Operations
· Trials of Kiotech’s Aquatice fish attractant in China and Thailand produce very encouraging results for Tilapia and White Shrimp
· Results demonstrate that Aquatice can significantly increase fish production under commercial conditions and benefit both the fish farmer and the environment
· Aquatice registration underway in China and EU
· Agil is ideal partner for Kiotech, bringing international marketing and product development skills
· Plans already underway to increase investment in Agil through expanding the product development program, promoting the brand and broadening further its international network of distributors and agents
· Agil’s technical expertise in chemical blending coupled with its record of cash generation will form a central part of Kiotech’s development strategy
Commenting on the results, Richard Rose, Chairman of Kiotech, said: “The company is trading profitably and the current year has started satisfactorily with a significantly strengthened balance sheet.
The exciting potential of Kiotech’s fish attractant technology has been borne out in our successful trials in China and Thailand. The results have generated significant interest from Agil’s network of distributors and from fish farmers and the aquaculture industry.
We expect to make solid progress with Agil, by introducing new ideas and products and establishing new territories. Agil is a sound, well-established business and will play a key role in driving Kiotech’s development and marketing strategy”
