News Archive
INTERIM RESULTS
Eden Research plc, the agrochemical and pharmaceutical company, announces its results for the six months ended 30th June 2004.
Overview
- Substantial progress has been made in soil fumigation studies for the eradication of nematodes
- Ongoing research and refinement of other terpene-based products and the delivery methods - specifically terpenes in powder form
- Heads of agreement signed with US distributor for nematodes treatment and in advanced negotiations with other international partners
- Restructured US subsidiary
- Results in line with budget - loss after tax of £1,033,000 (2003: loss of £305,000)
- Net administrative expenses £392,000 for half year
- New auditors appointed
Eden CEO Tim Griffiths said: “We have made significant progress both in the development of our products and the structure of the business. Following our strategy of developing products through appropriate partnerships, we have made important progress towards commercialisation in both the US and European markets.”
During the period, the Company has made significant progress as we continue to develop our products predominantly based on terpene chemistry. Now that some of our products are nearing commercialisation, we have signed several global distribution partners, strengthened our team and restructured our US subsidiary to further develop our products.
The results for the period are in line with budget and reflect the Company’s ongoing research and development costs. For the six months ended 30th June 2004, the Company showed a loss after tax of £1,033,000 (2003: loss of £305,000). However this does include a full amortisation charge to our carried forward intangible assets value of £641,000 for the half-year showing that the net administrative charges were actually £392,000. We have also appointed Moore Stephens as our auditors.
Substantial progress has been made in soil fumigation studies, which have shown significant kill rates of up to 98% by our terpene based product, in the eradication of nematodes, the most significant soil pathogens in the agricultural sector. We believe that this will be our first marketable product and heads of agreements have been agreed with Thallo Eco Products Corporation to distribute the product extensively in the US.
Refinement of treatment regimens for Pierce’s disease, the dilapidating vine infection, is taking place following favourable results in US vineyards. The feasibility and effectiveness of prophylactic treatment, in addition to initial treatment and re-treatment of infection, are also being studied.
We have recently conducted field studies of our terpene treatment of downy mildew in vineyards, where terpenes were delivered using Eden’s powder technology. Initial results have been positive and we hope to give a full update soon.
The Company continues to research other terpene-based products and to produce data for use in several other disease areas including eutypa, powdery mildew and turf grass. Furthermore, we have invested in extensive research aimed at optimising the delivery system for staged release of terpenes in powder form which is well advanced. Current field research is now focused on optimising the delivery load and timing.
New intellectual property relating to the product application devices has been acquired from Dionysus Inc, which both complements and strengthens our current patents. Significant progress has taken place in the development of several prototypes used extensively in field trials relating to the mixing and application technology required for the use of our terpene products.
The Company has now sourced a manufacturer for the supply of terpene formulations to service US and European markets. In addition, it has signed heads of agreements with Thallo Eco Products Corporation in the USA, and is in advanced negotiations with other global companies to market and distribute its products. Furthermore, Eden expects to appoint a new global project manager who will manage the Company’s international research and development programme.
Eden has restructured its US subsidiary, Eden Research Inc, which through a lease agreement, has secured facilities and equipment to further develop its anti-microbial technology for plastic and fibre substrates. To lead the project through to its completion date in six months time, the Company has appointed two specialists with extensive experience in plastic and fabric manufacturing processes.
We continue to make significant progress and look forward to fully maximising Eden’s potential. I would like to thank the Board for their hard work and commitment and for creating a solid foundation from which we can build.
Chairman
Craig Herron
CONTACTS
| Tim Griffiths | Eden Research plc | Tel: 01993 868844 |
| Hugo de Salis | St Brides Media & Finance Ltd | Tel: 020 7242 4477 |