AIM-listed Getech, a world leading locator of subsurface resources, has announced its unaudited interim results and report for the six months to 30 June 2024.
Operational Highlights
- Implemented the significant restructuring of the business to deliver:
- Successful diversification into energy transition market has grown sales pipeline to £9.6 million.
- Expanded annual recurring revenues base with introduction of subscription model.
- Introduced equity participation structure with a focus on natural hydrogen.
- AI and Machine Learning added to the capabilities of the Globe platform.
- Kitson House sold for £0.65 million in January 2024.
- Nicholson House remains an asset held for sale.
Financial Highlights
- H1 2024 revenues of £2.2 million (H1 2023: £1.9 million), a year-on-year increase of 16%.
- Strong contractually committed orderbook value of £4.7 million (31 December 2023: £4.6 million) with £1.7 million of the orderbook expected to convert to revenue in H2 2024, and a further £1.5 million due in FY 2025.
- Cost base for the period reduced by 28% to £2.8 million (H1 2023: £3.9 million).
- Cash balance of £0.2 million on 30 June 2024 (31 December 2023: £0.4 million).
- Debt of £0.1 million (31 December 2023: £0.6 million).
- Net cash flow break-even from operations (H1 2023: £1.6 million outflow).
- £0.3 million EBITDA loss before exceptional items (H1 2023: £1.6 million).
Post H1 & Outlook
- Raised gross proceeds of £1.7 million in a Placing and Retail Offer in August 2024.
New capital has both bolstered the balance sheet and provides growth capital to expand sales and business development teams.
Michael Covington, Getech Chairman commented:
'The business is evolving in the right direction. Last year we reset the structure and focus of the Company while also substantially reducing our overheads. This year, following our recent fundraise, the business is well placed to increase its customer base of exploration companies seeking new discoveries of assets needed for the energy transition. To that end, we have an expanding pipeline of potential projects, and we are focused on converting them.'
Source: Getech
