Energy Mad 'fails to deliver'
Small energy-efficient light-bulb manufacturer Energy Mad beat its breast at its annual meeting today, saying it had failed to deliver profits to shareholders.
Chairman Richard Ramsay told shareholders gathered in Christchurch the company was changing from making and selling compact fluorescent lamps (CFL) to light-emitting diode (LED) bulbs.
Energy Mad made a loss of $5.66 million for the year to March 31, 2014.
At the decade-old company's third annual meeting since listing on the NZX in October 2011, Ramsay said that "from the outset I acknowledge Energy Mad has failed to deliver and be profitable as a listed company".
Since Energy Mad offered shares to investor at $1 each three years ago the company had focused on CFLs in Australia, New Zealand and the United States.
While LEDs were on the horizon then, they were relatively new and expensive for residential and commercial buildings.
"This has changed and Energy Mad has recognised the market opportunities for them," Ramsay said.
"As a result we are now moving from CFLs to LEDs and Energy Mad has done extensive work to transition quickly to this technology." The company was focused on the new strategy combined with reducing costs to bring it back to profitability.
Progress would be reported at its half-year result along with guidance on its full-year profit.
Ramsay thanked shareholders for their continued support.
Energy Mad's shares were worth only 18.5 cents today.