The Board of AVTECH Sweden AB (publ) ("AVTECH" or "the Company") today announces the following Business Update:
Further delays regarding the easyJet project
Following the previously communicated data collection phase in regards to AVTECH’s commercial contract with easyJet on Aventus NowCast, the easyJet trial process has experienced further delays during November and December on behalf of a third-party production of a readable post-flight data-set. A complete and readable data-set including all flights is a pre-requisite for the successive fuel benefit analysis to be completed by AVTECH.
The quality issues in the received data set are in no way connected to AVTECH’s successful in-flight delivery of the Aventus NowCast service and its connected benefits to easyJet. AVTECH is awaiting a new set of data and will provide further information when received.
Lufthansa Cargo implemented
During late November AVTECH successfully implemented Aventus NowCast Full-flight for Lufthansa Cargo, meaning that Lufthansa Cargo is currently using Aventus NowCast in their 24/7 operation.
A continued Aventus NowCast Sales push and Management changes
AVTECH is to execute a continued sales push on Aventus NowCast by the appointment of Mr. Sören Skog as the new Head of Marketing of AVTECH, to capitalize on the Company’s existing and new Aventus sales dialogues, expanded with the new Aventus Sigma solution related to hazardous weather.
Delayed profitability
Further delays on a few critical sales processes, easyJet being the one with the largest impact, have caused the Board of AVTECH to revise its view on Company profitability during 2016. Revenue from the easyJet contract is now expected no earlier than the second quarter of 2017. Considering the continued sales push, it is the Board’s balanced view that monthly profitability is not expected during 2016 or the early part of 2017, pending the further process with easyJet and a few other critical ongoing sales processes.
For more information, please contact
Bo Redeborn, Chairman of Board, +46 (0) 8 544 104 80
Christer Fehrling, CEO, +46 (0) 8 544 104 80
About AVTECH Sweden AB (publ)
AVTECH develops products and services for digital Air Traffic Management (ATM). Its customers include the global aviation industry; e.g. airlines, airports, aviation authorities, technology companies and airline manufacturers. By using AVTECH’s products and services, each individual flight as well as the entire airline operation can be optimized in terms of cost, noise and emission, efficiency, punctuality and safety. The head office is in Stockholm, Sweden with subsidiaries in Toulouse, France and an associated company in Dubai, U.A.E. AVTECH Sweden AB is listed on NASDAQ OMX First North and has appointed Redeye AB, tel: +46 8 545 013 30, as Certified Adviser.
This information is information that Avtech Sweden AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 08:30 CEST on December 8, 2016.