MYCELX Technologies Provides Operational and Trading Update
Why we think this is good
The RNS provides a generally positive update on MYCELX's operations, including a successful water trial in the US and upcoming PFAS trials. The company also confirms the earn-out from the sale of its Saudi Arabia business operations, which is a positive development. However, the RNS also notes the impact of tariffs on FY 2025 revenue, leading to a revised guidance range. Overall, the news is positive, but does not meet the criteria for a 'Very Good' rating as there is no explicit profit upgrade or statement about trading significantly ahead of expectations.
Key Points
- Successful produced water trial in the US, with over 99% oil recovery
- Upcoming PFAS trials and work on PFAS-Flex™ mobile systems
- Earn-out of $1.25 million from sale of Saudi Arabia business operations
- Revised FY 2025 revenue guidance of $12.5 million to $15.5 million due to tariffs
Summary
MYCELX Technologies Corporation (AIM: MYX), the clean water and clean air technology company, has provided an operational and trading update. Key highlights include:
- Confirmation of a $1.25 million earn-out for the first 12-month period from the sale of its Saudi Arabia branch assets in 2024, with a further gain expected in 2025.
- Successful completion of a produced water trial in the US, with the MYCELX system recovering over 99% of the oil in the water.
- Plans to begin two PFAS trials within the next 4-6 weeks and work with channel partners to sell its PFAS-Flex™ mobile systems.
- Revision of FY 2025 revenue guidance to between $12.5 million and $15.5 million due to the impact of tariffs on steel equipment and parts.
The company remains profitable at the lower end of the revised guidance range, including the gain from the Saudi asset sale.