4th Aug 2014 09:22
LONDON (Alliance News) - Electronic and physical security systems provider Newmark Security PLC Monday reported an increase in profit for the full year, reflecting a strong performance across the business.
AIM-listed Newmark Security posted pretax profit of GBP906,000 for the year ended April 30, up from just GBP71,000 a year earlier, as revenue rose 4.9% to GBP19.2 million from GBP18.3 million. The previous year had been hit by GBP1.8 million in charges for goodwill impairment.
On the back of its performance the company increased its dividend for the year to 0.075 pence from 0.0333 pence a year earlier.
The company said its two reportable divisions - electronic and asset protection - both made gains during the year, with revenue up 9.4% and 2.0%, respectively.
Newmark said within the electronic division it saw "healthy" revenue from a major retailer, although a planned order from a major supermarket chain was delayed at the request of the customer with the balance being delivered in the current financial year. Nonetheless, sales from its US operation more than doubled.
In addition, Newmark said within the electronic division, the browser-based application SATEON has been installed in a number of projects, including Imperia Tower in Moscow.
London-based Newmark said its subsidiary Safetell Ltd acquired the business of Gunnebo Security Installations (GSI), a division of Gunnebo UK Ltd, in the year for GBP118,000. The business is now part of the Newmark asset-protection division.
The company said that, although revenue at GSI was lower than anticipated due to delays in orders from a major customer, it is expected that these orders will be placed in the current year and that GSI will further expand its product offering.
Looking ahead, the security solutions group said: "The board is confident of continuing increased SATEON sales, generating tangible benefits from the restructuring of the electronic division and the broadening of our product offering in all areas. We look forward to another successful year in 2015."
Newmark Security shares were quoted up 3.6% at 2.00 pence Monday morning.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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