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The company, which also distributes diodes made by Ushio, Osram, Panasonic and Sony, reported a 20 per cent increase in sales to $8.1 million, with cost controls helping to deliver better profit margins – despite higher spending on research and development.

CEO Tim Losik, who has prioritized cost reductions since taking over in 2013, said in a statement accompanying the latest results that the short-term strategies implemented when recapitalizing ProPhotonix had succeeded in creating a sustainable business model.

Meanwhile, the Salem, New Hampshire, firm is investing engineering resources as part of a longer-term strategic repositioning on target markets that Losik and his colleagues believe are ripe for rapid expansion.

“ProPhotonix is investing in additional engineering resources and will continue to make such investments in fulfillment of our strategy,” said the CEO. “In addition, ProPhotonix is in the process of expanding its sales team to increase our worldwide sales coverage.”

UV curing power
The additional investment is partly going towards ultraviolet printing and curing technologies, while Losik has previously indicated that 3D printing, as well as LED illumination systems for semiconductor and optical sorting applications, are priority areas.

Fruits of that investment include the company’s latest product release - its new “Cobra Cure FX3” UV LED curing system, which can be configured with diodes operating at 365 nm, 385 nm, 395 nm, and 405 nm, and offers intensities of up to 16 W/cm².

ProPhotonix announces new high power UV LED curing system. See press release:https://t.co/kourdOv252 pic.twitter.com/KzEnn4WCIW

— ProPhotonix (@ProPhotonix) September 6, 2016

The company has previously said that it expects the UV LED market to grow at a compound annual rate of 40 per cent over the next few years, reaching a value of $500 million by 2019.

ProPhotonix’ stock, which is listed on the London Stock Exchange’s Alternative Investment Market (AIM), soared in value by more than 30 per cent after the latest results were published, hitting levels not seen since 2012.

However, Losik said that the dramatic fall in the value of sterling against the US dollar precipitated by the UK’s vote to leave the European Union had had a significant impact on the net income figure for the first half of 2016 – even though it came during the final week of trading.