Frontier IP, a specialist in commercialising intellectual property, has announced its unaudited interim results for the six month period ended 31 December 2025. The full results can be seen here.
Frontier IP chief executive officer Neil Crabb said:
The first half of our financial year was marked by solid commercial, technical and financial progress across the portfolio. This progress was not reflected in our headline results, however pre-tax losses were driven mostly by two significant non-cash items: the IFRS 16 accounting treatment of our SC2 lease and a decrease in valuation of one of our portfolio companies.
KEY POINTS
· Pre-tax loss of £3.1 million (30 June 2025: pre-tax loss of £6.3 million; 31 December 2024: pre-tax loss of £1.6 million)
· Successfully completed a fundraising with existing shareholders and new investors in December 2025 generating net proceeds of £0.9 million in the period under review
· Basic loss per share of 4.54p (30 June 2025: loss per share 10.08p; 31 December 2024: loss per share 2.81p)
· Net assets per share of 52.7p at 31 December 2025 (30 June 2025: 61.0p; 31 December 2024: 67.6p) reflecting the increased shares in issue
· Fair value of the equity portfolio at 31 December 2025 was £33.5 million (30 June 2025: £33.4 million; 31 December 2024: £33.2 million)
· Cash balances of £1.6 million at 31 December 2025 (30 June 2025: £2.6 million; 31 December 2024 £3.6 million)
· Commercial, funding and technical progress made across the portfolio
Frontier IP and its portfolio companies made solid progress during the first half of the financial year and post the period close, in a highly uncertain economic and market environment for AIM-quoted stocks and early-stage technology companies. The portfolio continues to mature, bringing closer the opportunity for potential exits, although timings are likely to be affected by the market conditions.
Two substantial non-cash impacts resulted in pre-tax losses of £3.1 million. In accordance with IFRS-16 accounting treatment, the Group’s SC2 lease for the South Cambridge Science Centre was responsible for £0.9 million non-cash expense, split across Right of Use Asset amortisation (£0.3m) and finance charge (£0.6m) which are new for this period. The Group also recognised a net unrealised fair value loss of £0.8 million on a portfolio company during the period.
Operating costs declined by £0.3m compared to the same period in the prior year to £1.6m due to cost rationalisation and post-period end the Group identified and executed a significant further cost saving programme that is set to reduce the Group’s operating costs by c.£1 million to c.£2.5 million a year from 1 May 2026.
PORTFOLIO AND OPERATIONAL HIGHLIGHTS
The six months to 31 December 2025 and the months after the period end saw companies across the portfolio either achieve or make strong progress towards meeting funding, commercial and technical goals. Developments included:
· 2D Photonics – great progress has been made by 2D Photonics towards their plans to build an advanced photonics pilot line in northern Italy. A strong recruitment drive is underway, taking the company to 120 full time equivalent staff over the next 3 years and technical milestones achieved include having demonstrated critical wafer scale manufacturing steps.
· Pulsiv continued its fundraise, which reached £2.8 million during the period, valuing the company at approximately £62 million.
· Alusid raised £500,000 in a pre-IPO funding round and has expanded its international distribution network through an exclusive deal with Kakelspecialisten AB, a leading Swedish supplier and subsidiary of Saint-Gobain.
· Dekiln is to benefit from £3 million in funding after Dr Aled Roberts was named as an inaugural Green Future Fellow by the Royal Academy of Engineering. The company also moved into larger premises and is developing a pilot plant for industrial-scale production.
· The Vaccine Group (“TVG”) enjoyed outstanding results in challenge trials for two vaccine candidates to tackle bovine respiratory syncytial virus, an economically harmful cattle disease.
· Amprologix raised £740,000 in a pre-Series A funding round to accelerate development of its novel antibiotics able to overcome antimicrobial resistant MRSA.
· AquaInSilico launched Upwater, its first commercial digital tools and services for efficient wastewater management.
· Elute completed a five-year contract extension with a higher education sector leader, reinforcing commercial validation of its software.
· The Group continued the development and fit out of SC2, its new innovation hub in the South Cambridge Science Centre. Savills has been appointed exclusive agents to sublet the space.
· Post period end, GraphEnergyTech was selected for Japan’s Keihanna Global Acceleration Programme, giving it access to Japan’s advanced perovskite solar ecosystem. Alusid signed a deal with leading Benelux wholesaler Tegelgroep, and TVG announced success in trials of its porcine Streptococcus suis vaccine candidate