Shares of Remote Monitored Systems (LON: RMS) have fallen after the company's pre-tax loss for the year ended 31 December widened to £1.6 million from £711,942 the previous year.
RMS Shares are down 24% at 0.95p.
The loss was down to an increased cost of sales and rising administrative expenses. There was also a share option cost of £434,000 and an impairment cost of £363,000 from its planned sale of shares in Gyrometric Systems.
Revenue rose to £104,000 from £54,000 in 2019 while operating costs came in at £1.26 million from £610,000 the previous year due to the expense of the share options granted to directors in November 2020 and several one-off costs, including costs related to the Pharm 2 Farm acquisition.
“Significant progress has been made in transforming the Group and refocusing on businesses which provide good opportunities where we are able to apply the company's reserves to best exploit those areas. To this end, the board has been largely reshaped as we continue our search for a new CEO and look to invest in our marketing capability,” said Antony Legge, Executive Chairman of RMS.
Additionally, the company also plans a name change to Nanosynth Group plc.
In a separate announcement, RMS said that it and Braveheart Investment Group plc have agreed to return control of Gyrometric Systems Limited to its founders, David Orton, Dr Paul Orton and Dr Janet Poliakoff. They will transfer their shares for a nominal consideration.
RMS said Gyrometric would have required significant investment over the next 12 months and felt it was best to return the company to its founders.
Gyrometric had revenues of £83k and a loss of £105k in the year ended 31 December 2020.
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