9th Nov 2015 10:42
LONDON (Alliance News) - Printed materials and services company Grafenia PLC on Monday said it swung to a loss in the first half as revenue declined but its cost of sales increased.
The company said its pretax loss for the half to the end of September was GBP194,000, compared to a GBP173,000 profit a year earlier, as revenue fell to GBP5.3 million from GBP5.5 million. The fall in revenue was not matched by a fall in its cost of sales, which rose to GBP1.8 million from GBP1.6 million, hitting gross margins.
In the half, the company sold its business in the Netherlands for EUR2.4 million in a bid to make its operations more focused. Printing revenue was slightly higher, with solid trading in the UK and Ireland, but the sale of the Dutch business dragged on overall sales, in line with the company's expectations.
Grafenia said it expects its full year results will be weighted to the second half, in line with previous years and the company's forecasts.
Shares in Grafenia were up 5.1% to 15.5 pence on Monday.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
GRA.L