AFC Energy's loss widens as costs rise

7th Jul 2011 11:08

AFC Energy's shares slumped 8% on Thursday after the low-cost alkaline fuel cell developer posted wider pre-tax loss due to higher expenses related to expansion and products development.For the six months to 30 April, the company reported a pre-tax loss of £1.9m, compared to a loss before taxation of £1.4m, a year earlier. The company, which recently signed deals to provide its low cost fuel cell systems to John Lewis Partnership, said the activities related to strengthening its technical team, expanding of its Dunsfold facilities and constructing its first two beta systems contributed to higher expenses. AFC Energy said it is on track to deliver its commercial scale beta system once the hazard and operability (HAZOP) study is completed. Shares of the company were trading 8% lower at 41.9p in morning trade in London.AR