Water and waste water treatment company De.mem further established itself in the Australian market after winning $1.8 million in contracts during Q4 2017 alone, while recording a substantial 358% quarter-on-quarter increase in revenue.
The contracts have taken total new contract awards in 2017 to $2.5 million and were won through its wholly-owned subsidiary Akwa-Worx which De.mem acquired during the September 2017 quarter.
The contracts and scope of works conducted in the December quarter include delivery of an integrated portable water treatment system for John R Keith Group, delivery of containerised and mobile solutions for the storage of potable water or sewage for Ausco Modular and delivery of a containerised sludge dewatering system for Bechtel Australia.
The company also won a contract for delivery and installation of two water treatment systems for St Hilliers Property Pty Ltd’s $6 million Shoalwater Bay Training Area Vehicle Wash Point Facility project in Northern Queensland.
For the quarter, De.mem delivered revenue of $2.4 million, a 358% increase on the September quarter’s $670,000. This brings CY2017 revenue to $3.23 million a 1001% increase on CY2016 revenue of $290,000.
During the quarter, we quickly established ourselves as a leading provider of water and waste water treatment solutions in Australia by winning a number of contracts through our wholly-owned Australian subsidiary,”
De.mem CEO Andreas Kroell said.
“We also began actively pursuing opportunities in China and have made excellent progress in the technology side of the business. The momentum we created in 2017 has continued into 2018, and we are looking forward to updating the market on recent and upcoming developments.”
De.mem executed a non-binding Memorandum of Understanding (MOU) with Virtual Curtain China Limited (VCCL) to jointly pursue opportunities in China.
VCCL is a waste water treatment business backed by technology from Australia’s Commonwealth Scientific and Industrial Research Organisation (CSIRO).
The company is partnering with VCCL to jointly pursue a number of imminent market opportunities in the Chinese nuclear, mining and minerals, and coal-to-chemicals sectors.
In November, De.mem raised $2.5 million through an oversubscribed share placement and had cash of A$3.3 million at year end.
Shares in De.mem (ASX:DEM) closed yesterday at 24.5c.
