NXT: Short-Term Cash Flow Pressured By Drop In FY10 Revenue

U.K. technology and licensing company NXT PLC (NXT.LN) Wednesday said fiscal 2010 revenue is "significantly down" on last year, in spite of an improvement in its second half, which in turn has put some pressure on its short-term cash flow.

The firm--which is best-known for its flat panel loudspeaker technology--said it was unable to close a licensing deal of the same size as the one it sealed in fiscal 2009 with Japanese print firm Nissha Printing Co. Ltd.

NXT secured an up-front fee of $1.8 million from that contract, with royalties on any sales on relevant products thereafter.

It said slow licensing activity in the year to June 30 has affected its financial position, flowing through to a loss after tax, as well as creating some pressure on short-term cash flow.

It will now prioritize spending to control costs but ensure that any spending delay doesn't hinder revenue generation.

The firm has appointed an electronics engineer to be its new chief executive.

James Lewis, who has been a non-executive director of NXT since October 2009, will take up the CEO role Aug. 1.

Lewis founded Oxford Semiconductor, a privately funded chip start-up which grew to a global business with 150 employees, before exiting via a sale to a NASDAQ-listed business.

-By Hannah Benjamin, Dow Jones Newswires; 44-20-7842-9298; [e-mail]

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