Avantium First Half 2022 Results: Avantium Begins The Construction Of Its FDCA Flagship Plant And Signs Additional Offtake Agreements
AMSTERDAM, 17 August 2022, 07:00 hrs CEST – Avantium N.V. (Euronext Amsterdam and Brussels: AVTX), a leading innovative chemical technology company dedicated to developing and commercialising proprietary technologies for the production of chemicals from renewable sources, today reports its 2022 half year results.
Key Business Developments in the First Half of 2022:
- Avantium Renewable Polymers recorded a number of important milestones:
- The financial conditions were met (Financial Close) which allowed us to initiate the construction of the FDCA Flagship Plant.
- Five additional offtake agreements were signed in the first half of 2022, bringing the total of such contracts to ten:
- Avantium announced this morning that it has signed additional offtake agreements with LVMH and AmBev.
Construction of the Flagship Plant at the Chemie Park Delfzijl site is progressing according to plan.
- In the first half of 2022, Avantium Renewable Chemistries successfully restarted operations at its Ray Technology™ demonstration plant.
- Avantium Catalysis recorded revenues in the first half of 2022 of €4.5 million, compared to €4.3 million in the first half of 2021.
Key Financial Developments in the First Half of 2022:
- Total revenues increased in the first half of 2022 by 5% to €5.0 million (HY 2021: €4.7 million). Other income from government grants decreased by 3% to €3.2 million (HY 2021: €3.3 million).
- Direct costs increased as planned by €4.1 million in the first half of 2022 to €19.2 million (HY 2021: €15.1 million). Of the increase, €1.8 million is related to non-recurring items.
- The loss for the first half year of 2022 was €17.3 million (HY 2021: €10.9 million); the increase is predominantly the result of the initiation of the FDCA Flagship Plant
- The cash position was €72.1 million on 30 June 2022 (31 December 2021: €34.9 million):
- Of the €72.1 million cash position, €20.7 million is ringfenced cash for the Avantium Renewable Polymers business unit to utilise for its operations and construction of the Flagship Plant.
- The net cash outflow resulting from operating, investing and lease activities in the first half of the year was €24.4 million (HY 2021: €9.6 million). The increase in cash outflow predominantly relates to higher CAPEX expenditure and higher direct
- The improved overall cash position is primarily due to the successful €45 million capital increase by means of a public offering in April 2022. The net proceeds from the capital increase after bank, legal and consultancy fees were €41.6
Tom van Aken, Chief Executive Officer of Avantium, comments: “We have made significant positive strides across our business over the last six months. We are very pleased that we have started constructing the world’s first commercial facility for the production of FDCA, the key building block of PEF. This will allow us to accelerate commercialisation of our technology and make PEF widely available. We have also expanded our commercial partnerships, reinforcing both the value and huge potential of PEF.
We remain committed to demonstrating the commercial potential of all of our technologies. The equity offering in April 2022 has allowed us to invest further in delivering rapid progress across our business.”
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