DUBLIN CHIP design firm RedMere Technologies is to raise more capital this year to fund the future growth of the business.

The company’s latest accounts show it made a net loss before taxes of $4.6 million (€3.2 million) in 2010 compared to a loss of $5.4 million (€3.7 million) for the previous year.

Turnover totalled $1.2 million as against $291,822 for the previous year while the cost of sales rose from $53,996 to $450,643.

Gross profit rose from $237,826 to $778,611 over the 12-month period under review.

Net operating expenses totalled £5.3 million while research and development expenses were down slightly over the year to €2.7 million.

Its latest accounts show the company’s liabilities including preference shares reclassified as debt exceeded its total assets by $29 million. Debt relating to preference shares totalled $32 million.

RedMere, a designer of chips for high-definition cable connections, said it intends to raise about $3 million in funding over the next year to support future growth and allow it to expand its product lines beyond the HDMI market.

The company won the innovation award at the Irish Technology Leadership Group (ITLG)/Irish Times innovation awards in California last year in recognition of its technology, which enables manufacturers to create thin and flexible cables for connecting high definition devices such as television sets and games consoles.

Its EyeWire chip technology can reduce the amount of copper in a cable by up to 80 per cent, which allows for thin flexible cables of about 2mm in diameter.

The company, which was founded by chief executive Peter Smyth in 2004, employs 24 people at its headquarters in Balbriggan.

RedMere investors include Canadian venture capital firms Celtic House Venture Partners and EdgeStone Capital Partners.