After more than a decade of existence, Antonov still cannot make any money. The company, which has created a new type of automatic gearbox, lost another £2m in the year to December on sales of £139,000. That brings its losses over the past 7 years alone to around £17m. Against this background, it is no surprise that it has appointed its advisers (in this case Brewin Dolphin) to raise further cash to 'fund the next phase of development'. Last year it raised £2.2m, of which only £878,000 is left. Aside from the sales and profits figures, there were other 'positives' in the full year statement. Chief amongst them was that Honda has acquired a 'non-exclusive licence' to certain Antonov patents and prototyping of a potential product has delivered 'positive results'. How much Honda has paid, what these positive results are and how much Antonov expects to make in the future are questions that Antonov will not answer due to 'confidentiality' clauses. Chairman Rouman Antonov also said test demonstrations of its six-speed gearbox with certain manufacturers had gone well and that 'GM, Ford, BMW, Peugeot-Citroen, Aisin, AW, Getrag, ZF and Jatco... are moving forward to the next stage with our technology'. However, once again, details are low on the ground. This next phase seems to involve these group's making 'assessments' of the mass production cost of Antonov's gearbox. It does not direct involve signing money-generating deals. Curiously, broker Durlacher has forecasts predicting that Antonov will make sales of £2.3m this year. To meet these figures Antonov (whose gearbox is no more fuel-efficient than a conventional manual gearbox) will obviously have to sign some deals quickly. Interestingly, non-executive director John Dickens says of Durlacher's numbers 'they are not our forecasts'. Avoid.
Market cap: £20m
PE Forecast: n/a
Share price: 25p
Published in September 2015 this annual research report provides a comprehensive overview of cash shells on the Main Market, AIM and PLUS landscape. Order your copy today.
SharePad is the new web-based service from ShareScope. Easier to use and more powerful. Perfect for tablets, Macs and Windows PC. Covers ALL your investment requirements.
Since 2008, our share tips outperformed the benchmark by 281%. Take a free trial and get access to our recommendations today. Start free trial now.
Small-cap and growth company share recommendations on AIM- and PLUS-listed companies. Latest analysts' stock tips and advice on which are the best shares to buy on London's junior stock markets.
Be the first to receive our independent analysis and research, designed to help you generate more wealth for you and your family over the long term. Subscribe and save.