Trading Update

RNS Number : 1669J

Image Scan Holdings PLC

25 March 2010

 



                                                                                                                25 March 2010

Image Scan Holdings plc

("Image Scan" or "the Company")

TRADING UPDATE

The Board of Image Scan, specialists in the field of real-time 3D and 2D x-ray imaging for the 'Homeland Security' and 'Industrial Inspection' markets, is pleased to present a trading update to coincide with the AGM being held at 11am today.

The security sector has continued to dominate sales activity over the last year. The Company has been actively marketing its security products through an increasing number of agents, including G4S and IAL Serco, in territories such as India, South East Asia and the Middle East.  Whilst orders to date have related mainly to the FlatScan-TPXi portable x-ray scanning system, there has been growing interest in the small vehicle x-ray inspection system, SVXi.  Demonstrations have been carried out at our offices to representatives from the UK Border Agency, Iraq, Kuwait and Brazil.  In addition the British Transport Police are shortly due to take delivery of the second generation FlatScan-POD, a mobile, battery-powered system, for use as part of their 'stop and search' initiatives on the London Underground and mainline stations.

Activity within the industrial sector is still at a low level although in recent months there have been early signs of renewed interest from this sector.  Since September last year, the Company has been working on a contract to produce a new software platform for its MDXi systems installed across the Johnson Matthey manufacturing facilities worldwide.  This is due for installation during April and May.  Other industrial sales relate to spares and recurring support revenue.  The Board believes that the industrial sector will add value in the medium term, so continues to focus on industrial market segments where we have clear core competencies and can offer value.

Order intake in the year to date exceeds £0.8m and comprises mostly sales of the FlatScan-TPXi system.  In addition to sales of 30 units secured through our distributor, ICM, the Company has also sold directly into the US, Sweden, China and Qatar. 

Revenue to the end of March is expected comfortably to exceed the revenue from the comparable period last year of £743,000 and is based on a growing number of orders from a wide range of end users.

In October 2009 the Company moved to new premises just south of Loughborough.  The move was conducted with the minimal loss of productivity and the costs incurred totalled £50,000 of which £25,000 related to capital expenditure.  By securing a grant of £5,600 towards moving the x-ray chamber, we were able to mitigate the costs to some extent.

Image Scan's CEO, Louise George, commented, "Over the last year the focus has been on expanding the routes to market in key territories such as the Middle East, South East Asia and India.  We have raised the profile of our security systems, in particular the FlatScan-TPXi, with the mix of sales this year reflecting the market demand for specialist x-ray screening equipment."

-ENDS-

For further information, please contact:

Image Scan Holdings plc                                     Tel: [phone]

Brian Emslie, Chairman

Louise George, CEO

[e-mail]

Seymour Pierce                                                      Tel: [phone]

John Cowie

About Image Scan Holdings plc

Image Scan Holdings plc (AIM: IGE) is focused on the development and commercialisation of market leading real-time 3D and 2D x-ray solutions for use in the global security and industrial inspection markets. The Company's security portfolio includes the Axis-3d^® and Axis-2d baggage inspection systems for corporate and airport security; FlatScan-TPXi, a portable bomb and suspect package detection system; and SVXi, a small vehicle inspection system. The industrial inspection solutions include the MDXi and the DEX systems.

For further information on the Company, please visit: www.ish.co.uk - and for further information on its products, please visit: www.3dx-ray.com

 

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