19th May 2015 08:35
LONDON (Alliance News) - Security and surveillance systems provider Synectics PLC on Tuesday said it is trading in line with expectations and it anticipates posting a small underlying pretax profit in the first half, compared to the small loss it had flagged in its trading update in October last year.
Synectics said the recovery in its Integrated & Managed Services arm has been delivered as planned with all parts of the unit trading profitably in the first half and with the outlook for the unit looking positive.
The oil and gas-focused activities in its Systems Division are continuing to face a tough market, the company said, with the oil price fall resulting in companies in the sector cutting spending plans, subsequently causing project delays and cancellations. Synectics said trading in the sector is still profitable and improving, but is likely to remain subdued, with the timing of revenue difficult to predict.
The gaming surveillance segment in the Systems Division is trading slightly ahead of expectations, though its budget for the first half was significantly lower due to the timing of contract deliveries.
Synectics expects to post its interim results for the six months to the end of May in late July.
Shares in Synectics were up 0.3% to 157.975 pence on Tuesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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