Blis Technologies missed guidance for a maiden annual profit, having already downgraded the earnings outlook in February, as sales growth slowed to 16 per cent.
The Dunedin-based company reported a net loss of $24,000 in the 12 months ended March 31, narrowing from a loss of $816,000 a year earlier. Blis had already warned the market in February that pre-tax profit wasn't going to meet the $700,000 forecast due to significant reductions in purchases by three major customers, but was still expecting to generate a net surplus.
Sales rose to $6.5 million from $5.7m a year earlier, slowing from the 41 per cent increase in revenue in the first half. Earnings before interest, tax, depreciation, and amortisation was a surplus of $586,000, compared to a deficit of $347,000 a year earlier. Before the February downgrade, Blis had been projecting revenue of $8m.
The board decided to put off recognising $1.3m tax asset because of the net loss, chairman Peter Fennessy said in a statement.
Blis was set up to commercialise probiotic bacteria for use in consumer products for oral health, colds and flu and is focused on managing growth and continuing its strategy of securing regulatory approvals market by market. It first listed in 2001.
