Gloucestershire engineering firm Versarien has warned over its future after posting a pre-tax-loss of £1.49m for the first half of the year.
The AIM-listed company also confirmed it had closed down its Korean business, although it said it expected "ongoing activity" with the director in the country on a consultancy basis.
In a set of interim results for the six months to March 31, Longhope-based Versarien reported group revenues of £1.47m - up from £1.34m the year previously - but revenues from graphene fell to £210,000 from £280,000 the year before.
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The company, which makes products using graphene for the automotive, clothing and aerospace sectors, said there were delays over an "expected strategic investment" which had not yet received appropriate clearances under the 海角视频 National Security and Investment Act and Chinese Outbound Direct Investment.
Cash in the bank stood at of £650,000 on June 30 and the company said it did not expect to break‐even at the EBITDA level by the end of the financial year as previously reported in its 2024 annual report.
Versarien said that if no further external financing was received, it would cease to be able to pay its debts by August without taking "additional restructuring action and raising further funds".
"Whilst the first six months of the year have seen further pipeline progress, this has yet to translate into significant customer orders and sales," the company said in a statement.
Versarien also confirmed it had appointed business consultancy Leonard Curtis to carry out an "accelerated sale" of certain trade and assets of the group's 海角视频 technology companies.
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Stephen Hodge, chief executive, said: "With our planned corporate re‐structuring, our strategy continues to be to monetise intellectual property including our know‐how by being a manufacturing‐light operation that licences Versarien's technology and brands as commercial traction for graphene develops.
He added: "Although we remain dependent upon equity funding to continue as a going concern, the growing pipeline gives us optimism for the future growth and sustainability of the business."
The announcement comes just three months after the company issued a statement over its finances.