Source - SMW
HaloSource has warned that revenues are likely to be at the low end of forecasts.

The group said it was notified late on 22 Dec that the previous day the Chinese government had issued a temporary shutdown order to manufacturing facilities in the region where its glass pitcher supplier was located for region wide, rather than supplier specific, pollution mitigation reasons. 

It said that as a result, it had experienced an unexpected delay in receipt of glass pitchers from this supplier which would temporarily prevent it from shipping product to one of its customers, JiuBan, prior to the end of  December.  

HaloSource  said this would have a material negative impact on its revenues for 2017 and it now anticipated that its total sales would be in the range of $2.6m to $3.0m and net loss for the year would be in the range of $5.0m to $5.5m.  

It said the low end of the revised forecasts reflected an approximate 25% increase in revenues for the full year, a greater than 145% increase in revenues compared to the second half of 2016 and a nearly 50% reduction in the company's net loss for 2017 compared to 2016.

The company said it expected  all delayed products to be received from its supplier as soon as possible after the temporary shutdown affecting the region had ended and it expecedt to ship the delayed pitchers and related cartridges to fulfil orders received from JiuBan, valued at approximately $840,000, early in 2018.

The company also announced that it had adjourned its annual general meeting from 27 Dec to 29 Dec at 9:30 a.m. Pacific standard time to allow more time for votes to be cast and obtain a quorum for the items to be approved at the meeting.  

It said: 'Given the expected approval of the company's fundraising, previously announced on 15 Dec 2017, at the annual general meeting it is now expected that the new common shares of the company to be issued as part of the fundraising will be admitted to trading on AIM effective at 8.00 a.m. on 3 Jan 2018.'