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(Sharecast News) - Symphony Environmental Technologies said on Tuesday that annual revenue fell in 2025, but margins improved and trading had turned profitable in the first five months of 2026 following restructuring and tighter cost control.
The AIM-listed plastics technology group said revenue declined 13% to 5.73m in the year ended 31 December, reflecting operational changes in the Middle East, while gross profit slipped to 2.95m from 3.06m.
Gross margin improved to 51% from 46%, which the company said reflected a shift towards higher-quality revenue, better sourcing and improved manufacturing costs.
Administrative expenses rose to 4.31m from 3.84m, including 0.5m of one-off strategic costs, while the group booked a 0.47m impairment of development costs.
Operating losses widened to 2.12m from 1.09m and pre-tax losses increased to 2.50m from 1.34m.
Symphony said its d2w biodegradable masterbatch remained its core revenue driver, although sales fell to 4.6m from 5.5m because of the Middle East reorganisation.
d2p revenue was broadly flat at 0.7m, while the company reported repeat orders for its insect-control technology and early commercial demand for its NbR natural biodegradable resin, including one full-container order in the first quarter of 2026 and three further full-container orders in the second quarter.
The company said the move to a Symphony-led sales model with a Saudi manufacturing partner had restored operational stability in the Middle East, which was now broadly cash-neutral.
It also pointed to regulatory progress in India, where a new biodegradability standard had created a clearer pathway towards certification, which the board said could unlock a potentially significant medium-term opportunity.
Chief executive Michael Laurier said the group was now operating from a stronger platform, with the focus for 2026 on converting improved margins, tighter costs and regulatory progress into sustained profitability.
Symphony said revenue in the first five months of 2026 was up 10% year on year and the group had delivered a net profit over the period, compared with a loss a year earlier.
At 0939 BST, shares in Symphony Environmental Technologies were down 7.78% at 8.3p.
Reporting by Josh White for Sharecast.com.
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