Versarien has reported it is making progress on its turnaround strategy with significant cost savings already achieved.
This comes shortly after the Company reported a widened £3.4m pre-tax loss in its half-year results. Earlier this year, Versarien, which has previously secured partnerships with fashion label Superdry and kit suppliers of the England rugby team Umbro, said the tough economic conditions had delayed the commercialization of its products.
Versarien’s board said it was continuing with efforts to sell off some of the firm’s assets, including equipment and intellectual property it acquired from South Korean firm Hanwha Aerospace in 2020. Directors said there were “a number of interested parties, particularly in the intellectual property”, though the timing of any sale and the amount of funding it would generate was “uncertain”.
The board said: “The company's cost base has been reduced significantly in recent months with unaudited LBITDAE (loss before interest, tax, depreciation, amortization and exceptional items) at a much lower level than in the first six months of the financial year.”
They added that the company was continuing to streamline its focus on the construction and textile sectors. The company’s graphene-enhanced concrete has been selected for a number of global trials, while it continues to supply Umbro and other sports equipment clients.
Non-executive chair Diane Savory said last month, based on certain asset sale assumptions, projections suggested Versarien would have “sufficient resources for a further period of 24 months”, though “nothing is certain in this respect”.