Plant Impact revenues grow and losses narrow in “excellent” 2009/10

Novel pesticides and plant nutritional products developer Plant Impact (LON:PIM) said its pre-tax losses narrowed from £2.03 million to £1.95 million, while revenues surged from £0.83 million to £1.4 million in the financial year 2009/10, during which the company secured a number of agreements with partner Arysta LifeSciences and achieved regulatory progress with its BugOil insecticide technology.

The highlights of the year included the signing of the first license agreement for BugOil and a crop nutrients agreement with Arysta LifeSciences, the submission of BugOil data dossier to the EPA in the US, placings to raise a total £3.59 million and a nematicide grant of €300,000.

Plant Impact is using the proceeds of the placings to hire new sales and marketing personnel to drive sales in the company’s current markets and accelerate the roll out of its existing products into new markets. Research and development and distribution spend was roughly at the same level at £1.95 million compared to £2.03 million in 2008/09.
Cash balance at 31 March 2010 stood at £2.9 million compared to £0.7 million a year ago.

Other accomplishments included improved crop nutrient gross profit margins of 63% compared to last year’s 47.6%.

Plant Impact said its directors were pleased with the progress made during year, saying that the first income from the license for BugOil demonstrated it had the ability to commercialize its technologies.

“We have now seen the results of our work with growers turn into increased sales and continue to work with government agencies and food producers around the world to seek the breakthroughs we need to take the business to another level. This is a long process, in an industry which is slow to change, but we remain confident that we have a range of products which can change the face of agriculture and make a significant contribution to food security and sustainability,” said chairman of Plant Impact, Martin Robinson.

Earlier this month, Plant Impact signed a distribution agreement for its InCa calcium delivery product, with Arysta LifeScience’s Mexico-based subsidiary, extending its territorial coverage from 24 to 52 countries, and increased the field trial development of the Crop Nutrient Products - with Arysta planning some 350 field trials over the next 12 to 18 months to take total number field trials over the 500 mark.

Plant Impact has developed five technologies, with associated patents, and a broad range of high quality products that it believes represent the future of sustainable agriculture and food production.