Shares in Canadian water technology company H2O Innovation gained 19.2% during September to end the month at €0.31, despite the firm’s announcement of lower revenues and increased losses for its financial year to 30 June. Even so, H2O’s share price is still some way off its high for the year of €0.48.

 

Sales at the company declined to $27.7 million from $31.2 million in 2009, while its net loss increased to $10 million from $65,148. The sales backlog increased from $13.4 million to $14.7 million, which the company says is a sign of the industry’s gradual economic recovery.

During its 2011 financial year H2O plans to target high-growth markets for its products and services. These include North Africa, the Middle East and Russia.

At the end of last month, the firm announced that it had been awarded several new contracts, worth a total of $4.3 million. These contracts will see H2O supply custom-built water treatment systems and equipment for municipal and industrial customers. Frédéric Dugré, H2O’s chief executive officer, said that the signing of the contracts was “a result of both a higher level of bidding activity that we have been experiencing since the second half of fiscal 2010 along with capital equipment investments picking up in the industrial segment of the water treatment industry”.

Last year H2O acquired California-based Profession¬al Water Technologies, transforming the company from a simple manufacturer of water systems to a complete water treatment solutions business.

H2O’s shares are quoted on NYSE Euronext’s Alternext exchange for small companies: they also trade on Toronto’s TSX Venture Exchange.

Market: Alternext

Symbol: ALHEO

Price: €0.31

12 month high/low: €0.48/€0.26

Market cap: €18.6m