(Alliance News) - Shares in Biome Technologies PLC sank on Monday, after the company reported a sharp dip in revenue for the first quarter of 2024.

Shares in Biome were down 25% at 75.03 pence each in London on Monday afternoon.

The Southampton-based biotechnology company said that revenue was GBP1.1 million for the three months ended March 31.

This marked a 44% drop from GBP1.9 million in the first quarter of 2023, and the result came in "slightly below" Biome's expectations.

Biome's Bioplastics division delivered GBP900,000 in revenue, a decrease of 44% from GBP1.6 million a year before.

Biome credited the decline to extended material transit times due to knock-on effects from the Red Sea shipping crisis, as well as "production and regulatory difficulties at two end customers that reduced offtake of material".

The company's RF Technologies segment reported a drop in revenue to GBP200,000 from GBP300,000, though the final amount surpassed management's expectations for the quarter.

"Whilst trading in the first quarter was below the previous quarter, contract wins and ongoing business are improving and the board is confident that the group will achieve its expectations for the 2024 full year," Biome said.

By Hugh Cameron, Alliance News reporter

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