31st Jul 2018 15:33
LONDON (Alliance News) - Associated British Engineering PLC on Tuesday posted a narrowed loss in its recently ended financial as it it is keeping its costs at a low level and grows revenue.
For the year ended March 31, the engineering services company reported a pretax loss of GBP582,000, compared with a GBP962,000 loss the previous year, as revenue rose to GBP1.6 million from GBP1.0 million.
Revenue from the sale of goods grew 24% year-on-year to GBP937,000 from GBP757,000, while revenue from the rendering of services more than doubled to GBP666,000 from GBP286,000.
The loss was mainly caused by the continued development of the new series of diesel engines that Associated British Engineering has now started to sell, it said. Thus, the company remains confident that over time it will be able to replace and exceed the lost sales and return to profitability.
Associated British Engineering said it continues to keep central costs under tight control, although operating costs rose slightly to GBP2.1 million from GBP1.9 million reported a year earlier.
Associated British has reached an agreement to suspend its deficit repayments on the British Polar pension fund. The company said that running costs of the pension fund have become "disproportionate" when compared to the number of members.
"In summary we are building a base for the future and we are beginning to notice some positive responses in our established markets," said Chairmen Rupert Gould and Colin Weinberg.
Shares in Associated British Engineering were untraded at 30.00 pence on Tuesday.
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