This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (“MAR”), and is disclosed in accordance with the company’s obligations under Article 17 of MAR.
25 May 2021
(“Iofina”, the “Company” or the “Group”)
(LSE AIM: IOF)
AUDITED 2020 FINAL RESULTS
RECORD REVENUE, EBITDA and IODINE PRODUCTION
Iofina plc, specialists in the exploration and production of iodine and manufacturers of specialty chemical products, announces its audited final results for the 12 months to 31 December 2020.
2020 Sales and profits grow despite Covid-19 headwinds:
- Revenue increased by 1.5% to $29.7m (2019: $29.2m)
- Gross profit increased by 1.9% to $8.4m (2019: $8.2m)
- EBITDA improved by 6.7% to $4.7m (2019: $4.4m)
- Operating profit increased by 4.1% to $2.9m (2019: $2.8m)
- Profit before tax increased by 131.3% to $1.28m (2019: $0.55m)
Debt refinanced and interest payments reduced:
- Debt of $18.2m was refinanced by $5.2m repayments and $13.0m of bank facilities
- Finance expense decreased by 37.7% to $1.7m (2019: $2.7m)
- Cash of $3.5m at year end (2019: $8.2m) following $5.2m repayments as part of debt refinancing
Increasing production and delivering on investment plan:
- Iofina Resources produced 610 MT of crystalline IOflo® iodine from Oklahoma based IOsorb® plants (2019: 602.7 MT)
- Construction of IO#8 plant completed and production commenced April 2020
- Capital investment into iodine and chemical plants was $2.4m (2019: $1.7m)
2021 so far:
- Record revenues for Q1 2021 partially as a result of sales of excess inventory
- Extreme February weather impacted Q1 crystalline iodine production, producing 108MT (2020: 129.7 MT), but operations are since normalised
- Iodine prices have remained stable and recently lifted to $34-37/kg in Q2 2021
Commenting, President and CEO Dr. Tom Becker, stated:
“I am extremely pleased with the excellent progress that Iofina has made in 2020, and we are proud to report that the Company has had another record-breaking year, testament to the hard work and dedication of our staff and the resilience of our business model even in the face of a global pandemic.
“The Group’s debt refinancing during the period was a key highlight and has greatly strengthened the balance sheet, placing us in an excellent position to continue to make operational improvements and to expand our production and chemicals product portfolio. In line with our expansion strategy, IO#8 was completed on time and within budget during the period and we are now carefully reviewing several promising locations for expanding further, while carefully considering the timing around this.
“Following a brief slowdown in the second half of the year as a result of the COVID-19 pandemic and its effects on the global economy, we have been particularly encouraged to see the strong state of the iodine market and its recovery in Q1’21, with prices having bounced back to roughly where they were this time last year. We are confident that this recovery will continue for the remainder of 2021 and beyond and we are pleased to be on track to continue our growth.
“I’d like to thank our staff for their dedication throughout what was a challenging year and I’d like to thank shareholders for their continued support. I look forward to updating the market going forward as we continue to progress with our prudent growth strategy.”
Thomas Becker, CEO and Malcolm Lewin, CFO will provide a live presentation relating to the 2020 results and outlook for the Company via the Investor Meet Company platform on 26 May 2021 at 3pm BST. The presentation is open to all existing and potential shareholders. Questions can be submitted pre-event via the Investor Meet Company dashboard up until 9:00am today, or at any time during the live presentation.
Investors can sign up to Investor Meet Company for free and add to meet Iofina plc via:
Investors who already follow Iofina plc on the Investor Meet Company platform will automatically be invited.
Annual General Meeting
The Company is posting its 2020 Financial Results and notice of its AGM to shareholders today. The 2021 AGM of Iofina plc will be held at 2:00 p.m. on 18 June 2021 at 4-6 Russell Street, London WC2B 5HZ. In light of COVID-19 circumstances and due to continued travel and meeting restrictions in place and other safety factors, it will not be possible for shareholders to attend the meeting in person. The AGM will be run as a closed meeting with the minimum necessary quorum of two shareholders in accordance with Iofina’s articles of association.
To ensure shareholder votes are counted at the AGM, all shareholders are asked to submit a Form of Proxy and are advised to appoint the chairman of the meeting as your proxy to ensure your vote is counted. The Company will provide any further relevant information regarding AGM matters in future RNS releases.
Dr. Tom Becker
CEO & President
Tel: +1 859 356 8000
Christopher Raggett/Tim Harper (corporate finance)
Tim Redfern (ECM)
Tel: +44 (0)20 7220 0500
Charles Goodwin/Joe Burgess
Yellow Jersey PR Limited
Tel: +44 (0)7747 788 221
Iofina plc (AIM: IOF) is a vertically integrated Company that specialises in the production of Iodine and the manufacturing of specialty chemical products. As the second largest producer of iodine in North America, it comprises three USA entities; Iofina Resources, Iofina Chemical and IofinaEX.
Iofina Resources develops, builds, owns and operates iodine extraction plants using Iofina’s WET® IOsorb® technology. Iofina currently operates five producing IOsorb® plants in Oklahoma and is consistently using technology and innovation to improve and expand its operations.
Iofina Chemical has manufactured high quality halogen speciality chemicals derived from raw iodine, as well as non-iodine based products for over 35 years.
Iofina’s newest subsidiary, IofinaEX, is fully licensed to process hemp in the state of Kentucky and is currently managing a hemp seed investment in this market.