PIONEERING prosthetic limb-maker Touch Bionics has narrowed its underlying pre-tax losses from around £588,000 to £93,684.

Annual accounts for the business, which is registered at Companies House as Touch EMAS, confirmed it had seen a 23% rise in annual revenue from £10.02 million to £12.3m in 2013.

Touch Bionics had previously indicated it was on course to post a number in that region and was hopeful of booking a small after-tax profit.

The accounts show it made an underlying bottom-line profit of £3,716 thanks to a tax rebate of £93,684, compared to a loss of £444,186 in 2012.

However, the total 2013 figure did not include a £164,980 charge for share- based payments which pushed the business to a loss of £161,264.

Adding in those share- based payments saw the total 2012 after-tax loss come in at £825,413.

Chairman George Borthwick said: "The board of directors considers that both the increase in turnover and progress towards profitability were very encouraging.

"All i-limb devices are now controlled via a mobile app. New i-limb coverings and further improvements to i-limb digits for patients with partial hand loss demonstrated our commitment to innovation, patient comfort and the restoration of the ability to perform activities of everyday living.

"The next year will show increased growth in sales and expansion into European markets, whilst continuing with the strong [research and development] programme."

Scottish teenager Patrick Kane became the first person to be fitted with the i-limb ultra-revolution product in April last year.

Around 4,000 Touch Bionics devices are installed around the world, with 95% of sales outside the UK.

The accounts show staff costs at the Livingston, West Lothian, company increased from £5.14m to £5.9m in a year when average staff numbers grew from 92 to 102.

Directors' emoluments at Touch Bionics ticked upwards from £429,000 to £479,243, with the highest paid seeing theirs rise from £232,000 to £263,407.

The company introduced a new £500,000 short-term loan in 2013 with interest charged at 12% per annum.

The accounts state it is payable in full after one year and was received from Scottish Enterprise and Archangel Informal Investment.