Clothing and fabrics technology company Xeros announced a 59.8% reduction in its adjusted EBITDA loss in its first half on Wednesday, to £3.0m, as it confirmed its licensees had delayed some market launch plans.
The AIM-traded firm said its net cash outflow from operations reduced by 55.4% year-on-year for the six months ended 30 June, to £4.1m, with the company having cash of £6.2m as at 31 August.
Operationally, it said its licensed products were close to market entry, with its India and China licensees of its commercial laundry technology planning market launches in the first quarter of 2021.
It said its India licensee of the garment finishing technology was planning a market launch in also in the first quarter of 2021, with the planned market entry timing by the India licensee of its domestic laundry technology unchanged, in mid-2021.
During the period, it noted that its microfibre filtration technology was judged as “vastly superior” to existing products, with a University of Plymouth study of domestic washing machine filtration solutions published in July evaluating its ‘XFiltra’ technology as “significantly more effective” than all other devices.
A joint development agreement was signed in March with an unnamed “leading global laundry equipment” original equipment manufacturer to develop a filtration product for its commercial washing machines.
Xeros said its transition to a ‘pure-play’ licensing model and organisation was now fully implemented, having completed the exit from direct businesses with sale of Marken in June.
The company’s cash burn run rate was down to less than £0.5m