LONDON (ShareCast) - (Sharecast News) - Grafenia reported an improvement in its full-year revenue on Wednesday, to £15.96m from £14.63m, while its gross profit was ahead marginally at £8.55m from £8.34m.
The AIM-traded firm swing to an EBITDA loss, however, of £1.11m in the year ended 31 March, from earnings of £0.77m 12 months earlier.

Its operating loss widened to £2.99m from £1.1m, and its total loss for the year was £2.82m, compared to £0.95m in the 2018 financial year.

Losses per share from continuing operations were 3.79p, widening from 2.07p year-on-year, while the company's net debt was £3.12m at year-end, compared to £3.04m a year earlier.

On the operational front, Grafenia noted that it successfully launched Nettl of America during the period, with more than 220 Nettl partner locations now operating in eight countries.

It also opened its second Nettl Superstore in Exeter.

The board said revenues were up at company-owned stores, and added that the upgrade of the Manchester production hub was completed during the period.

Post year-end, the company completed the relocation of Image Group to the Manchester production hub in July, and also completed a placing to support its sign roll-up strategy.

"As a result of ... changes to our cost base, we estimate we will be breakeven on a monthly EBITDA run rate during the current financial year," said Grafenia chief executive Peter Gunning of the company's outlook.

"We are targeting an EBITDA margin of 10-15% in the medium term, although we make decisions for the long-term sustainability of the business, rather than short-term performance."

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