Shares in dual listed Ceramic Fuel Cells Limited
(ASX:CFU) gained yesterday as the developer of small generators revealed cost cutting measures and an organisational change to focus on Europe.
The company has employed a Commercial Director for its European management team and realigned the structure of its Melbourne headquarters to support its European markets.
The changes, including outsourcing of cell production, are expected to generate annual cost savings of about $5 million and result in 56 job losses in the current financial year.
Managing Director Brendan Dow says the company is making the changes to reduce overhead costs and to focus on markets where it can achieve immediate and significant sales growth.
Shares in Ceramic Fuel Cells gained 5.8 per cent yesterday, closing at $0.073.
Ceramic Fuel Cells reported a net loss of $30.2 million in the 2012 financial year.
