(Alliance News) - Quantum Exponential Group PLC says it swung to a pre tax loss following a fair adjustment on investments dampening profit.

The London-based quantum technology investment firm swung to a pretax loss in its financial year ended April 30 of GBP1.9 million, from a profit of GBP343,933, which it said reflected the company's building out of capabilities and positioning of itself for future growth.

The company swung to a loss on fair adjustments on investments of GBP1.1 million, from a profit the year prior of GBP1.1 million, following the downward change in valuation of its publicly quoted investment Aquit Quantum Inc.

Revenue increased to GBP20,045 from GBP9,497, whilst the company's total assets dropped to GBP3.8 million from GBP5.8 million.

Chief Executive Officer Steve Metcalfe said: "The year under review has been one of significant progress for Quantum Exponential as we continue our journey to provide investors, who would otherwise not be able to do so, with exposure to early-stage investment in quantum-driven businesses.

"We find ourselves at an opportune moment to take advantage of the sector's growth, particularly with the support quantum technology is experiencing from the UK Government and beyond, which is testament to the company being in the right place at the right time to build an exciting portfolio of investee companies that we expect will increase shareholder value over time."

The company said that the support for quantum sector by the government, with the UK government's publication in March of its GBP2.5 billion national quantum strategy provides it with confidence despite macroeconomic headwinds.

Having laid the foundations for future growth the team are now discussing how the Quantum Exponential platform can be leveraged with a range of potential government and private sector investor investors. We are exploring setting up a limited partnership fund as well as a range of other opportunities to grow the business," said Chair Ian Pearson.

Shares in Quantum Exponential were last trading at 1.59 pence on July 14 in London.

By Will Neill, Alliance News reporter

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