BLT
22/05/2015 10:36
FLLYR
PRICE SENSITIVE
REL: 1036 HRS BLIS Technologies Limited
FLLYR: BLT: 2015 Annual Report
BLIS TECHNOLOGIES LIMITED
OPERATIONS REPORT
For the Year Ended 31 March 2015
The Group reports a net deficit of $1,373k (2014: $1,541k deficit) on total
revenue of $2,631k (2014: $1,322k) for the twelve months to 31 March 2015
which is in line with the market guidance provided by directors on the
release of the interim results in November 2014.
Trading revenue for the period increased by $1,260k (100%) with operating
margins remaining robust across product lines resulting in a $251k reduction
in the net deficit before depreciation, amortisation and capitalised costs
when compared to the previous corresponding period. Trading revenues for the
second half of the year were 34% higher than reported for the first half. The
Group is expecting comparable dollar amount growth for the 2016 financial
year.
Key Highlights for the year Include:
o 100% revenue growth over corresponding prior period
o Renegotiation of international distribution agreements
o Export approved Risk Management Programme ("RMP") Dairy, achieved for
in-house production
o Overcoming ingredient market access issues in the United States
o Successful clinical trials and product launches in Italy and Poland by
third parties
o Launch of new products by the Company
Key Challenges for the year:
o Increased costs due to production facility set up and gaining export
approval status
o Optimisation of production resources during a period of high growth
o Costs incurred in implementing international distribution changes
o Longer lead times for regulatory compliance delaying product launches by
key customers
o Stronger New Zealand dollar relative to EURO and AUD
Outlook
The immediate focus for the Company is to move to profitable operations. This
will only be achieved by careful management of resources through a period of
accelerated production growth. Sales growth is expected to be generated from
ingredient sales into North America with Stratum Nutrition, the active
pursuit of finished product sales into Europe and consumer product sales in
Asia and our local Australasian market both directly and with our distributor
partners. Website product sales and focus on educating consumers on the
benefits of BLIS oral probiotics remain high priorities and will grow
awareness of BLIS oral probiotics.
Accordingly, provided the pipeline of planned product launches and sales
activities continue, our expectations are for trading revenue to increase by
a similar dollar amount to that achieved in the current year.
Barry Richardson
Chief Executive Officer
End CA:00264682 For:BLT Type:FLLYR Time:2015-05-22 10:36:50
