A WONDER substance company expects to “move forward at an ever-increasing velocity” as enduring demand provides a platform to deliver global dominance, its boss has claimed.
Jon Mabbitt says Applied Graphene Materials is poised to bolster its market presence further with stellar collaborations providing a template for future growth.
Mr Mabbitt added such momentum will reverse protracted financial losses at the firm, as it works through an extensive testing process and start-up cost legacies.
Based at the Wilton Centre, near Redcar, the business produces graphene, which is acclaimed by experts for being ultra-lightweight yet overtly tough and capable of conducting electricity, despite being as thin as a human hair.
Formed as a spin-out of Durham University, it has worked for a number of years to build its technology and market repute, previously unveiling a stellar satellite deal with Airbus Defence and Space that is expected to see its graphene used in satellites.
According to the company’s latest results, for the six months to January 31, pre-tax losses increased marginally from 12 months ago to £2.3m, with earnings before interest, tax, depreciation and amortisation registered as a £2m loss.
However, the business’ cash at the bank increased from £5.6m to £12m, and chief executive Mr Mabbitt, who will retire later this year once his replacement is appointed, said it was important to look beyond the plain black and white figures.
He said: “We have seen increased commercial momentum in our core markets, (and) long-term engagements in the functional materials sector are beginning to reach the point of commercialisation.
“With solid foundations in place and well-established collaborations ongoing, the board remains confident we have the right strategy in place for the long-term success of the business.
“While the majority of our collaborations have yet to materialise into top line returns, given the progress that is now being made on many fronts in our key target sectors, we are confident these will soon deliver real growth and that the business will move forward at an ever-increasing velocity.
“Our intent remains to become a global market leader.”
The company’s order book also includes a supply agreement with Wearside fishing rod maker Century Composites to strengthen equipment, while bosses last month revealed its graphene was being used to improve the strength and performance of the tailgate on the Fenyr Supersport supercar, through a collaboration with Magna Exteriors and SHD Composites.
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