30th Apr 2014 09:57
LONDON (Alliance News) - Management and outsourcing services company Norcon PLC Wednesday said it narrowed its losses in the recent full year, as finance costs were reduced while its European businesses delivered a number of projects.
The company posted a pretax loss of USD327,967 for 2013, narrowed from a loss of USD642,478 in 2012, as finance costs were reduced to USD685,721 compared with USD933,028 a year earlier.
Revenue dipped to USD46.1 million from USD49.6 million in 2012, as Norcon experienced a decline in revenue from a major customer in the Middle East. However, Norcon said a large part of this reduction has been recovered from other new customers in Asia, Europe and North America.
"This is evidence that our diversification strategy is going to plan," the firm said.
During the period the company established a business in North America which it said is now achieving expected growth in revenues. The company's European business also is delivering a number of projects in its second year of operation, Norcon added.
Nonetheless, Chairman Trond Tostrup admitted that 2013 had "undoubtedly proved to be another challenging year" for the company.
"However, last year I expressed confidence that we were well placed to start seeing the results of our transition strategy into an expanding marketplace, and I am pleased to report that this has been the case," he said.
"Looking into the expanding marketplace we serve I am confident of success. 2014 will see the company continuing to invest in the key personnel necessary for our geographical growth and 2015 is expected to bring the full benefits of our cost-reduction plan, started in 2012/13 and our expansion into new marketplaces," he added.
The stock was trading at 19.25 pence Wednesday morning, down 2.75 pence or 13%, making it one of the biggest fallers on AIM.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
NCON.L