Uncertainty for Windflow Technology

MARTA STEEMAN
Last updated 12:14 14/03/2014

Relevant offers

Industries

Auckland Council will no longer buy land for parks, will rely on developers to provide them Woolworths Australia tipped to sell Ezibuy as part of restructure Australian parent Woolworths closes six Countdowns House prices could fall 11 per cent by late 2019, as building catches up: Infometrics Woolworths Australia to close dozens of stores, cut 500 jobs McKinsey Global Institute: a different look at income inequality HD version of Freeview's satellite television service on the horizon Wellington student accommodation blocks for sale Ivanka Trump on her 'amazing' father and building her own brand Fraud crackdown gets software upgrade as NZ software company Auror expands in Australia

Windflow Technology has posted a $2.8 million half-year loss.

This is almost 50 per cent higher than the previous half-year loss of $1.9m.

The embattled wind-turbine manufacturer said it had prepared its financial statement for the six months to December 31 on the basis of being a "going concern".

But there was a "significant element of uncertainty as the group's ability to remain a going concern is contingent on its being able to increase external revenue in its wind-turbine and licensing segments as well as raise funds for any further development activities in the United Kingdom".

At the end of December, the company's equity stood at a negative $2.2m. It was restored to positive equity by issuing $2.9m of preference shares in early January.

Revenue from turbine operations for the six months to December was $373,000, compared with the previous half of $837,000, as the company struggles to sell its wind turbines in its targeted British market.

Licensing revenue amounted to $641,000, compared with $168,000 the year before.

The company has made provisions this financial year for $1.6m of warranty costs over the turbines it supplied Te Rere Hau wind farm in Manawatu.

It said the number of turbines under warranty was 91 at the end of the half-year, and that would fall to zero by July 1 next year.

At the end of last year, the group had capital commitments of $570,000.

Ad Feedback

- Fairfax Media

Special offers

Featured Promotions

Sponsored Content