Chairman's AGM Statement

RNS Number : 1446F

CAP-XX Limited

03 November 2022

 

3 November 2022

 

CAP-XX Limited

("CAP-XX" or the "Company")

Chairman's AGM Statement

CAP-XX Limited, a world leader in the design and manufacture of supercapacitors and energy management systems, announces that at the Company's Annual General Meeting to be held later today, CAP-XX's Chairman will make the following statement in relation to the Company's activities:

"As reported in the Company's announcement on 29 September this year, the full year results for the last financial year demonstrated a very strong growth in sales, with product sales up 44% and Gross Margin up 43%.

We also indicated that the current financial year has started somewhat slower than expected due to several influences including: industry wide supply chain bottlenecks, especially in China, a global shortage of integrated circuits and increasing pessimism over the state of the global economy. However, we remain optimistic about the short term and long term growth prospects of the Company. Despite the slower than expected start to the year, there are indications that the order book is starting to bounce back and our outlook for full year revenue and adjusted EBITDA for the year ending 30 June 2023 remains in line with market expectations.

Sales of the new products manufactured at Seven Hills continue to grow strongly and we remain confident that over 75% by value of the former Murata customers will be retained. I am pleased to add that we are now shipping the first of the Ioxus modules, for a ship propulsion project, which has the potential to make a significant contribution this year and next.

Longer term, we are buoyed by the knowledge that our total known sales opportunities (what we refer to as our sales pipeline) remain in excess of US$60m p.a. and without any significant contribution yet from some of the new product families we have recently launched, such as the Lithium-ion capacitors, Truck Start and large cylindrical modules and cells.

Operations continue to improve, especially at Seven Hills where yield continues to improve along with gross margin and where we have the ability to increase DMF and DMT production by a factor of four.

The Company continues to carefully control all operating expenses and discretionary costs to ensure we get to a position of positive cashflow as soon as possible. Cash reserves at 30 June 2022 were A$1.6m with another approximately A$2.0m in relation to a R&D tax rebate expected this calendar year, in line with earlier estimates.

Finally, we continue to review the Company's Board structure. We are delighted with Steen Feldskov's recent appointment as a non-executive director. Mr Feldskov is already making a great contribution, especially in relation to making introductions to broaden the Company's distribution channels. The Board will continue to look for additional non-executive directors who can make a strong contribution to the Company."

For further information contact:

CAP-XX Limited

Anthony Kongats (Chief Executive Officer)                                    [phone]

Kreab (Financial PR)

Robert Speed                                                                              [phone]

Allenby Capital (Nominated Adviser and Joint Broker)

David Hart / Alex Brearley (Corporate Finance)  [phone]

Tony Quirke (Equity Sales)

Cenkos Securities plc (Joint Broker)   Neil McDonald / Pete Lynch

[phone]

More information is available at www.cap-xx.com

Notes to Editors:

CAP-XX (LSE: CPX) is a world leader in the design and manufacture of supercapacitors and energy management systems used in portable and small-scale electronic devices, and to an increasing extent, in larger applications such as automotive and renewable energy. The unique feature of CAP-XX supercapacitors is their very high-power density and high energy storage capacity in a space-efficient prismatic package. These attributes are essential in power-hungry consumer and industrial electronics and deliver similar benefits in automotive and other transportation applications. For more information about CAP-XX, visit www.cap-xx.com

 

END

 

 

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