Cleantech Building Materials: Annual Results to 31 December 2016 – GlobeNewswire (press release)

29 March 2017



Cleantech Building Materials plc

Annual Results to 31 December 2016

Cleantech Building Materials plc (“CBM” or the “Company”), presents its results for the nine months ended 31 December 2016.  The audited financial statements are appended to this announcement.

Business Overview

On 23 December 2016, the Company’s shares were admitted to trading on the Nasdaq First North market in Copenhagen and the acquisition of Diamond Wood was completed. With the successful completion of the admission to Nasdaq First North, Copenhagen, our attention has turned to delivering on Diamond Wood’s objective of constructing an Accoya® factory in China. Discussions are on-going and we expect to announce developments throughout 2017. We have also strengthened the Diamond Wood sales team with two new experienced hires in Q1 2017.

Financial Overview

The Group’s revenues for the 9 months ended 31 December 2016 remained steady at €531,000 (year ended 31 March 2016: €784,000) and consisted mainly of Accoya® Wood sales to Thailand, Philippines, Singapore and Malaysia.

The Group realised a net loss of €3,596,000 for the period from 1 April 2016 to 31 December 2016 (year ended 31 March 2016: €4,479,000).

Since reaffirming its Accoya® licence with Accsys Technologies plc in 2015, the Group has successfully appointed 11 distributors of Accoya® Wood in the ASEAN region and is currently working on several exciting reference site projects to further build brand awareness. The Group held an Accoya® distributor conference in Bangkok during October to educate and assist distributors with sales of Accoya® Wood in their respective regions, and is now starting to bear the fruits from this extremely well received event. The Group has also recruited additional sales staff in Thailand and China and is now in discussions to sell Accoya® Wood directly to manufacturers in these regions.

Following the public listing in 2016, the Group is accelerating its discussions with a state-owned Chinese conglomerate to significantly grow its business and to construct and operate its own Accoya® Wood manufacturing facility.

Once the Group is producing its own Accoya® Wood, the Board believes the financial performance of the Group will be radically transformed. In the meantime, Diamond Wood’s licensor, Accsys Technologies Plc, has announced it will be increasing the capacity of its Accoya® Wood factory during 2017, which should help to bridge the gap between demand and supply until the Group’s Accoya® Wood facility is in operation.

As at 31 December 2016, the Group had cash and cash equivalents of €113,000 (31 March 2016: €51,000), €Nil (31 March 2016: €3,700,000) in interest bearing borrowings from independent third parties and net current liabilities of €775,000 (31 March 2016: €4,418,000).

Going Concern

The consolidated financial statements are prepared on the going concern basis.

The directors have considered the future liquidity of the Group in light of the net loss of €3,596,000 (year ended 31 March 2016: €4,479,000) during the current period and the net current liabilities as at 31 December 2016 of €775,000 (31 March 2016: €4,418,000); and the material uncertainty regarding the Group’s ability to raise funding and to execute the Group’s business plan.

The directors have reviewed the Group’s cash flow projections prepared by management covering a period of twelve months from the date of the consolidated financial statements. Based on these cash flow projections, the Group will have sufficient financial resources in the twelve months to 31 March 2018 to meet its financial obligations as and when they fall due. Management’s projections make key assumptions with regard to (i) the anticipated cash flows from the Group’s operations and (ii) the availability of future funding from the loan facility.

This uncertainty is referred to by the Group’s auditors in their report as an Emphasis of Matter. The audit report is not qualified.

Future Developments

The Group continues to advance its discussions with a state-owned Chinese conglomerate to significantly grow its business and to construct and operate its own Accoya® Wood manufacturing facility.  The Group expects to commence construction of its own Accoya® Wood manufacturing facility during H2 2017.


Further information may be found at the Company’s website at www.cbm-plc.com

Further Enquiries:

Cleantech Building Materials plc info@cbm-plc.com
Keswick Global AG (Certified Adviser) info@keswickglobal.com 
+43 1 740 408045
IFC Advisory Limited (Financial PR)
Tim Metcalfe
Heather Armstrong
+44 20 3053 8671



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