Xeros Technology signs LOI with 'major electronics distributor'

(Sharecast News) - Xeros Technology said on Wednesday that it has signed a Letter of Intent with a major electronics distributor for an initial order of the XF3 external microfibre plug-and-go filter.

Xeros said the agreement will see its XF3 filter placed into several major retail outlets, initially in the UK under "a well-known electronics brand", towards the latter part of 2025.

Additionally, further discussions for orders of XF3 with some of the "world's largest electronics brands and distributors" were said to be progressing well, with other partnership announcements anticipated in early Q3.

While the AIM-listed group warned FY24 revenue would come in below expectations, adjusted underlying earnings and net cash were seen in line following "better than expected" cost savings of �200,000.

"With our ongoing focus on operating cost discipline the board continues to anticipate that this will be sufficient to take the group to month-on-month cash flow break-even during the course of this year. Cognisant of potential timing issues when working with large global organisations, the board is taking a prudent view of its revenue expectations for FY25," said Xeros.

"Allowing for some delays and slippages within the existing pipeline, the board expects to achieve revenue of approximately �2.5m in the current year, though this does not include the significant upside potential of additional revenue opportunities from the numerous discussions we currently have underway."

As of 1125 GMT, Xeros shares had surged 37.14% to 0.72p.

Reporting by Iain Gilbert at Sharecast.com