17th Aug 2016 07:33
LONDON (Alliance News) - Security systems provider Newmark Security PLC on Wednesday said its pretax profit nearly halved in the year the end of April 30 due to investments the company made in its operations.
Newmark said it made a GBP1.2 million pretax profit in the financial year to the end of April, down from GBP2.1 million a year earlier.
Revenue declined to GBP21.8 million from GBP22.9 million due to lower volumes in the firm's Asset Protection division, while its gross margin decreased slightly to 41.75 from 42.5%. The bottom line also took a hit from investments the group has made, including opening a new office in Hong Kong.
The declared a flat dividend of 0.10 pence per share.
"The opportunity pipeline however continues to grow, and although the conversion into sales has been slower than hoped, we have seen robust growth in certain product lines," said Newmark Chairman Maurice Dwek.
"The group retains a significant cash position and the board remains optimistic about trading in future years and has therefore maintained the proposed dividend for the year at the same level as last year," he added.
Newmark shares were up 1.5% to 1.75p early on Wednesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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