19th Apr 2016 11:14
LONDON (Alliance News) - Communications network firm Norcon PLC on Tuesday said it turned to pretax profit in 2015 despite revenue coming in broadly flat.
Norcon said its pretax profit for the year was USD1.0 million, compared to a USD300,000 loss a year earlier, as revenue came in broadly flat at USD43.4 million against USD43.5 million a year earlier. The profit improvement driven by cost-cutting in the business, which helped improve gross margin.
Norcon said trading was in line with its expectations for the year, with its business in North America maintaining market share despite a tough market and expanded services in its Middle East business.
"The tide has eventually turned, and we begin to reap the rewards of the hard work and efforts during the last challenging years and we have now achieved an optimised corporate structure and a leaner cost base," said Trond Tostrup, Norcon's chairman.
The company said it expects further margin expansion in 2016 and will continue to target new markets.
Norcon shares were untraded on Tuesday, having last traded at 15.75 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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