The Dublin based medical technology group Alltracel has said it is in a good position to achieve its first profits this year.

The company's share price on the AIM in London rose by 0.31 pence to 10.81 pence yesterday after the release of its sales figures for 2005. However, activity in the stock, which has slipped from highs of about 30 pence this time last year, was light.

The company announced record fourth quarter sales of €5.7 million and full year sales of €19.2 million. This was in line with the lower end of analysts' expectations.

Analyst Ian Hunter of Goodbody said the full year sales figure was 8.6 per cent short of the €21 million guided during the year and 9 per cent shy of the €21.1 million in its forecasts.

"No other financial data were given and as it was cost controls that have been concerning us over the past six months, we remain cautious on the stock."

He said trials on the company's m.doc cholesterol-lowering agent were continuing. "In its core wound care business, although the quarter saw further partnership deals in Greece, Korea and Russia, the big US client remains elusive."

Alltracel chief executive Tony Richardson said he was pleased with the quarter's progress on sales growth, partnership signings and product research and development.

"We are looking at an exciting 2006 in which we see continuing strong revenue [ sales] growth . We remain particularly enthusiastic about the potential for the m.doc technology platform's coronary health applications and are accelerating discussions to commercialise the technology with a number of multinational partners in 2006. We enter 2006 in a good position to achieve our first profitable year from continued revenue growth and improved cost controls ."