Vectrix in Forbes

Vectrix FY bike sales up 156 pct (FORBES)

Vectrix Corp. said it expects a 738 percent rise in revenues for the year to Sept 30 to $6.7 million, in anticipation of sell-out of 754 bikes.

The company said it sold 1,184 bikes to dealers, representing a 156 percent increase over the previous financial year.

In the trading update the company added its revenue for the second half is expected to be $4.8 million, an increase of 152 percent compared to $1.9 million recorded in the first half.

'Strategies to stabilise the business are taking hold, cost reductions have proved effective and the acceleration of Sell-In, as a result of the focused expansion in distribution, is continuing,' said CEO Michael Boyle.

Vectrix added its dealer organisation, which is defined as 'dealer points of sale', expanded to 160 dealer points of sale from 38 at the close of the previos year.

The company added it had net working capital, including cash and short term investments, of around $14.4 million till the year-end.

'Although the company is not at a cash flow breakeven point the cash position remained adequate in the second half of the year and has been assisted by a programme of aggressive restructuring actions to reduce cash consumption,' it said.

Vectrix expects the use of existing cash and results from its expanded product line to provide adequate working capital for the new financial year.

The company is expected to announce its full year results on Jan 15