What: The share price ofIofina (LSE: IOF) a company that specialises in the production of iodine and iodine specialty chemical derivatives was up over 10% at one point this morning, following release of interim results for the six months to 30 June 2014. Its since fallen back a bit, but is still up 8.7% at the time of writing.
So What: Revenue hit a record, atjust over $13m up 12.6% from $11.6m in the same period last year and was achieved during what the company describes as a period of declining iodine prices. Earnings before interest, tax, depreciation and amortisation (EBITDA) were positive at $352,257, albeit down from the $558,495 of the first six months of 2013.
But there was a net loss of 1.3m, compared to the $124,410 loss in the same period last year, with a basic loss per share of $0.01.
However, the company did produce a record 139.9 metric tonnes (MT) of crystallised iodine during the first half, up124% on the 62.5MT produced in the corresponding period of 2013.
What Now:Iofina also reported that it now has six operational IOsorb plants, with IO#6 having been brought online after the period end, in August. The company also says thatIO#5 and IO#6 both utilise fibreglass systems that will significantly reduce plant cost and material lead time.
Iofina says that itcontinues to learn from the construction and operation of these current plants, which will help ensure that future plants havereduced costs, increased efficiencies, better overall design and an improved construction timeline.
Commenting on the interims, co-founder and non-executive chairman Lance Baller said:
It is pleasing to report record revenues and record iodine production for the Period. However, we are disappointed not to have met previously stated iodine production expectations.
With the design completion of our mobile IOsorb technology and the successful production of IOprillTM iodine, the Board is excited about Iofinas future and is dedicated to progressing towards becoming the global leader in iodine and iodine derivatives. We look forward to updating shareholders on our continued growth, expansion of iodine production facilities and maximising shareholder value.
Despite this mornings rise, at 46.75p Iofinas share price is still down a whopping 72% on this time last year, versus a mere 5.6% fall in the AIM All-Share over the same period. And over five years, Iofina is badly lagging its index, with its share price having fallen 43%, compared to the AIM All-Shares 17% gain.
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