30th Oct 2014 12:11
LONDON (Alliance News) - Northamber PLC, a trade-only distributor of IT equipment in the UK, Thursday said its full-year pretax loss widened slightly due to a decrease in revenue and reduced margins.
In a statement, Northamber said it made a GBP1.2 million pretax loss in the year ended June 30, compared with GBP1.0 million in the year prior. Revenue fell to GBP62.9 million from GBP77.5 million.
Margins were down to 6.8% from 7.6%.
Distribution costs fell to GBP2.5 million from GBP3.4 million, while administrative costs fell to GBP2.9 million from GBP3.7 million.
"At this time last year and then my statement on the interim results, I reported that we were concentrating on the more profitable aspects of the business. That process is, in any dynamic business, an on-going task. Any change in structure or direction takes time and involves costs, and the changes which we have made and those which are on-going are no different," Chairman David Michael Phillips said in a statement.
"There has been a marked change between the first and second halves of this past year. In the first half the results continued the downward trend of previous periods but in the second half we achieved increases in both turnover and margins compared with the first half," Phillips said.
"Costs were contained in the second half even though we increased the quality and quantity of resources put into marketing, selling and liaison with suppliers. The result of these cumulative changes was that the operating loss for the second half year was significantly lower than for the first half at GBP495,000 compared with GBP730,000," Phillips added.
Northamber declared a 0.3 pence final dividend, making 0.6p for the year as a whole, unchanged.
Shares were untraded at 35.50 pence at midday.
By Samuel Agini; [email protected]; @samuelagini
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