20th Mar 2014 12:55
LONDON (Alliance News) - Progility PLC posted a narrowed pretax loss in the half-year ended December 31, 2013, despite revenue being hampered by currency headwinds, as costs declined and it nears the end of its restructuring phase.
Progility posted a pretax loss of GBP1.1 million, narrowed from GBP2.6 million in the previous year, as revenue declined to GBP18.6 million from GBP20.6 million, but sales costs, administrative expenses and restructuring costs declined. Revenues were hit by foreign exchange headwinds, hitting results by around GBP1.7 million, as the Australian dollar weakened.
The first-half did not see any benefits from contracts won in Australia, Progility said, although these will materialise in the second-half.
The company, which was previously called ILX Group, re-branded itself as Progility following its merger with Australian Progility Pty Ltd in October 2013. It also acquired TFPL Ltd and Sue Hill Recruitment & Services Ltd during the period.
It posted GBP450,000 in restructuring costs in the period, down from GBP1.9 million in the previous year. The company said that its restructuring is now largely complete, and it would now be focusing instead on investment.
It expects to see a "modest" level of of non-recurring costs in the second half related to this restructuring, however, it also noted that the new business units in Australia would contribute to the second half.
Progility did not recommend a dividend for the half-year, and said this would remain its position for the foreseeable future.
The company expressed confidence that its Australian, UK and Middle East operations will continue to progress in the second half, although it noted that that the full year results would depend on the delivery of contracts in Australia. It expects its Training and Consulting divisions to boost performance for the full-year.
Shares in Progility were trading down 1.1% at 6.80 pence Thursday afternoon.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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