What Kromek does
The company’s products are based on cadmium zinc telluride (CZT), an alloy used primarily for x-ray and gamma radiation detection, as well as other technologies.
The group has operations in the UK and the US and sells its products internationally through a network of distributors, original equipment manufacturers (OEMs) and direct sales.
How is it doing
In early summer, the company was awarded an extension to its contract with the Defense Advanced Research Projects Agency (DARPA) to detect and identify pathogens in an urban environment.
Under the new deal, Kromek said it will be awarded up to US$5.2mln to further work on its mobile wide-area bio-surveillance system capable of detecting airborne pathogens.
In a full-year trading update at the start of the month, the firm said it had started the second half of its current financial year with “increasing commercial momentum” and had not experienced any material impact from the coronavirus pandemic until the end of February.
As a result, the firm said it now expects to report full-year revenues of £14.5mln, similar to the prior year, while adjusted underlying earnings (EBITDA) are predicted to be breakeven.
Kromek is also helping in the effort to combat coronavirus by turning its manufacturing efforts over to producing medical ventilators, which will be made under licence machinery developed by the Japanese firm Metran.
The company said it has received “significant interest” in the ventilators and is on track to produce at least 2,000 units by autumn.
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What the boss says: Arnab Basu, chief executive
Speaking on the ventilator manufacturing deal, the CEO said: “By combining our existing manufacturing skills with Metran's proven technology, we expect to commence the manufacture of these robust ventilators from next week and deliver in a rapid manner,” he added.
“Any procurement of this equipment from Kromek is expected to have the additional benefit of safeguarding and creating employment in the North East as well as contributing to this region's fight against COVID-19. We look forward to the ongoing relationship with Metran."
- Additional orders in all three divisions
- Airport safety standards tightening around the world
- New opportunities in biological detection
- The company has new manufacturing plants in the US and UK