Member Article

Kromek increase revenues but struggle to turn profit

Radiation detection specialists Kromek have announced a three-fold increase in revenue in the six months to the end of October 2013, but have struggled to turn a profit.

The Sedgefield-based suppliers of security scanning and medical imaging equipment significantly increased its order book over the period but incurred losses of £1.8 million in the period.

Revenues increased to £2.3 million at the end of October 2013, driven by the firm’s acquisition of eV Products and strong customer demand across the medical imaging, security screening and nuclear detection sectors.

The firm has made headway in recent months with contract wins to provide their technology across a number of European airports and nuclear detection contracts in the US worth up to $3.7 million.

Kromek is also a key partner in a two-year development programme in the medical CT market, which is worth up to $5.3 million.

CEO Arnab Basu said: “Kromek is currently growing strongly as we enter the rapid commercialisation phase of our business, utilising our powerful IP and technology platforms.

“The strong increase in sales of the Bottle Scanner and a program worth up to $5.3m in medical imaging are good examples of this commercialisation phase in action.

“Having completed a successful IPO during the period, we are also now in a stronger financial position as we look to grow our business. We have seen encouraging take-up of our products in all of our three target sectors and are confident about the future prospects of the business.”

This was posted in Bdaily's Members' News section by Tom Keighley .