Ten-bagger Titomic’s directors doubled their pay in 2018 – and probably deserve it
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3D printer Titomic’s directors gave themselves a big pay rise in 2018, pulling in double their earnings in 2017.
The board’s remuneration almost doubled from a collective $357,549 in 2017 to $660,355, a pay rise approved by shareholders in November.
But shareholders don’t seem to mind — no doubt because the stock is up ten-fold since listing at 20c on the ASX a year ago.
The shares were up 6 per cent to $2.08 in early Friday trade after the release of a full-year report. They have traded as high as $3.12 this year.
The salaries for chairman Philip Vafiadis and Simon Marriott, who abruptly resigned in February, included executive services and consulting fees.
Titomic (ASX:TTT) listed in September after a $6.5 million initial public offering and a vision to build the world’s biggest and fastest metal 3D printer.
It launched that printer in Melbourne last May. Here’s it is in action:
Titomic is still in ramp-up phase — the revenue it booked for fiscal 2018 was interest or R&D tax rebate, totalling $267,859.
It has pilot projects with shipbuilder Fincantieri, which executives told Stockhead in May would be a long burn before generating revenue, an as-yet unnamed bike company which is widely understood to be Trek, oil and gas services company Callidus Welding Solutions, and American company Callaway Golf.
The full-year loss widened by 170 per cent to $3.8 million, but so did its cash holdings.
The company has $10.3 million in cash thanks to the IPO last year and a $12 million boost from Asian, European and local institutions in April.
In the coming 12 months Titomic plans to automate its production line which consists not just of the giant 3D printer, but also finishing and polishing machines, and add another smaller printer.
It is implementing a cyber security program and will be hunting about for new potential customers. The last new agreement signed was with Callaway Golf in May.
Titomic shares rose 4 per cent to $2.05 on Friday morning.