REG - Ilika plc - Trading Update, Notice of Results & Presentations

IlikaAnnouncement

17/11/2022 07:00

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RNS Number : 6907G  Ilika plc  17 November 2022

Ilika plc

("Ilika" or the "Company")

 

Trading Update & Notice of Half-year Results

Analyst and investor presentations

 

Ilika (AIM: IKA), a pioneer in solid-state battery technology, provides an
update on trading and notice of results for the six months ended 31 October
2022.

 

Operating Highlights:

 

Stereax(Ò)

Following completion of initial process qualification in May 2022, Ilika has
been carrying out a programme of product qualification and process
optimisation to increase process yield and financial margins in preparation
for commercial release. M300 product qualification is now expected to complete
in Q2 calendar year 2023. Commercial demand remains strongest from the
miniature medical device sector, where we currently have initial orders from
18 customers. Revenue ramp-up will be commensurate with the product
commercialisation timelines seen in that sector. This ramp-up is now expected
to take five years to reach capacity of the UK manufacturing facility. Longer
term volume demand from certain individual applications such as smart
orthopaedics, neurostimulation and smart contact lenses, is still expected to
exceed the total production volume of Ilika's initial manufacturing facility
in the UK, creating opportunities for technology transfer and licensing.

 

Goliath Programme

Ilika has continued to make progress in improving the performance of its large
format solid-state batteries for electric vehicles and consumer appliances. It
has steadily improved the energy density of its prototype cells, increasing
them by c.80% since the start of the financial year. At the rate of progress
seen this year, Ilika is currently targeting lithium-ion energy density parity
towards the end of the calendar year 2023, rather than early in the calendar
year 2023 as previously advised. In parallel, it has progressed a series of
scale-up studies, including completing a manufacturing equipment design study
with COMAU, starting an economic feasibility study with the UK Battery
Industrialisation Centre (UKBIC) and securing grant funding for the
commencement of manufacturing equipment trials. Ilika has continued to
interact with a portfolio of automotive and consumer appliance OEMs globally,
demonstrating strong commercial pull for the product.

 

Financial Highlights

The Company expects to announce revenue of £0.2m (H1 2022: £0.2m), and an
EBITDA loss of £4.5m (H1 2022: loss of £2.7m) for the six months ended 31
October 2022, due to the increase in operational costs associated with the
commissioning of the Stereax manufacturing facility and an intensification of
the Goliath development programme. Cash and cash equivalents at the period
end were £18.6m (Cash and cash equivalents H1 2022: £27.7m). EBITDA loss
is expected to be approximately £9.0m for the full year to 30 April 2023 and
the cash and cash equivalents as at this date of approximately £14.0m. As
described above, as a result of the revised expectations for the speed of
Stereax ramp-up, revenue in FY24 and FY25 will be materially lower than in
previous forecasts.

 

CFO Recruitment

The Company will separately announce this morning the appointment of Jason
Stewart as Chief Financial Officer ("CFO") to the Board of Directors,
effective 3 January 2023.

 

Notice of Results

Ilika expects to announce Half-year results for the six months ended 31
October 2022 on Thursday 19 January 2023.

 

Analyst Briefing

The management team will be hosting a hybrid analyst briefing on the day, 19
January 2023, at 9.30am. Analysts who wish to attend should contact Lianne
Applegarth at Walbrook PR on +44(0)20 7933 8780 or
email ilika@walbrookpr.com to register.

 

Investor Presentation

An investor presentation will be held on the day, 19 January 2023, at 4.30pm
and will be hosted through the digital platform, Investor Meet
Company. Investors can sign up to Investor Meet Company for free and add meet
Ilika plc via the following
link: https://www.investormeetcompany.com/ilika-plc/register-investor
(https://urldefense.proofpoint.com/v2/url?u=https-3A__www.investormeetcompany.com_ilika-2Dplc_register-2Dinvestor&d=DwMFAg&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=1OI9eWQUVfVpxZXWzxX2tPcSAmxw5YMa3-DImHWnbkA&m=22nIVAzynQ78VnYQ8pNvYLoiaC3r3JGnA0Gjs0X1HfI&s=GFcaJdt_WBmGcV6u2cZxJzgNoqqkh-ky8V45ELknGH8&e=)
. For more information, please contact Walbrook PR at ilika@walbrookpr.com.

 

 

 For more information contact:
 Ilika plc                                               www.ilika.com (http://www.ilika.com/)
 Graeme Purdy, Chief Executive                           Via Walbrook PR

 Liberum Capital Limited (Nomad and Joint Broker)        Tel: 020 3100 2000
 Andrew Godber, Cameron Duncan,
 William Hall, Nikhil Varghese

 Joh. Berenberg, Gossler & Co. KG (Joint Broker)         Tel: 020 3207 8700
 Matthew Armitt, Mark Whitmore, Detlir Elezi,
 Mara Grasso

 Walbrook PR Ltd             Tel: 020 7933 8780 / Ilika@walbrookpr.com
 Lianne Applegarth                                       Mob: 07584 391 303
 Nick Rome                                               Mob: 07748 325 236
 Tom Cooper                                              Mob: 07971 221 972

 

 

The information contained within this announcement is deemed by the Company to
constitute inside information for the purposes of Regulation 11 of the Market
Abuse (Amendment) (EU Exit) Regulations 2019/310. Upon the publication of this
announcement via a Regulatory Information Service ("RIS"), this inside
information is now considered to be in the public domain.

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