To say shareholders in Los Angeles-based renewable energy group Solar Integrated Technologies have had a rocky ride would be an understatement. Joining AIM in 2004, the shares soared to a 365p peak in 2006 on a wave of solar-powered optimism before a cash crisis destroyed the price, sending it to a nadir of 17.5p later that year. Losses of more than $17 million (£8.5 million) and $22 million were incurred for 2005 and 2006 respectively.

But the provider of ‘photovoltaic’ – converting sunlight into electricity – roofing systems has turned the corner under new chief executive Randy MacEwen, who tells me about ‘an extraordinary turnaround’. In 2007, the company finished the year ‘firing on all cylinders’, says MacEwen. On sales of $81.1 million, Solar got back into the black with $11.3 million cash, following a $28 million December placing.

Growth prospects are sunny, with Solar seeing strong demand for its lightweight, flexible, durable roofing systems, for which customers already include IKEA, Coca-Cola and the US Air Force. I also understand that Solar is seeing a rising proportion of business from Europe and, in my view, is well placed to profit from growing demand. With sales set to double again to $160 million this year and MacEwen’s ‘line of sight’ trained on 2008 profitability, the 103.5p shares should have further to go.

ABI – pains are past
Akers Biosciences (ABI), the designer and maker of rapid diagnostic tests, has recently transformed from an R&D business to a focused commercial venture under new, no-nonsense CEO Thomas Nicolette. Restructured ABI announced record sales for 2007 and its first-ever positive EBITDA, and now has the potential for good margins going forward.

Turnover surged to $5.5 million (2006: $1 million) last year, driven by sales of breathalyzers to the US military, as well as sales of its rapid ‘HPF4’ test into the US clinical laboratory market. I’m no scientist, but I am reliably informed that the test can swiftly tell if a patient is allergic to Heparin, the blood-thinning drug used to prevent clotting and administered before surgical procedures. There is huge market need for the test, which could save lives and keep litigators at bay.

With Nicolette’s hand on the tiller and broker Arbuthnot forecasting a top line of $8.5 million, EBITDA of $3 million and a swing to net cash this year, now is the time to buy in. Issued on AIM at 136p in 2002 and with a history of flattering to deceive, Akers, valued at £11.5 million at 16.25p per share, finally offers investors potential for profit rather than pain.

I SPI recovery
Also no stranger to the doghouse is SPI Lasers, the maker of optical fibre-based lasers bossed by cerebral CEO David Parker. Beaming onto AIM at 144p in 2005, the shares hit 293p the following year before collapsing on losses and technical snags. To my mind, the present 31p share price - valuing the company at £19 million - could prove a decent entry point for investors looking for a price recovery bet.

Recent financials revealed a near doubling of sales to more than £13 million, reflecting significant new customer wins and strong product sales in Asia. While Parker has improved the group’s technological platforms, he has cut costs and is prioritising high-margin business to move the company into profitability before the end
of the year.

Broker Panmure Gordon expects losses this year, as the top line swells ahead of profits of £900,000 and 1.5p of earnings for 2009. With SPI inhabiting a fast-growing worldwide market and boasting more than £11 million of year-end cash, I like its long-term prospects.