29th May 2020 12:17
(Alliance News) - Volvere PLC on Friday said it swung to a profit of 2019 through gains from the disposal of Sira Defence & Security, as revenue grew on a solid trading performance of food manufacturer Shire Foods Ltd.
For the year, investment company reported a pretax profit of GBP137,000, compared to a loss of GBP2.5 million the year before, as administrative expenses dropped to GBP2.3 million from GBP4.6 million.
In May 2019, Volvere sold its CCTV viewing software business Sira for GBP3.0 million.
Revenue for the year grew by 26% to GBP23.0 million from GBP18.3 million, through a strong performance from Shire Foods - which has been 80% owned by Volvere since July 2011.
Volvere's net asset value per share as at December 31 rose by % to GBP13.85 from GBP12.50 the same date the prior year.
Looking ahead, Volvere said for the first quarter of 2020, there was an uplift in sales made to retail customers, and that throughout the Covid-19 period there has not been material staff absences due to illness.
Volvere has implemented measures to mitigate the spread of the virus. "Whilst those measures are modestly affecting our short-term capacity and resulting in increased labour costs, we are still achieving an encouraging level of output and, for the most part, meeting customer demand," the group stated.
"We are already seeing increased levels of distressed deal flow due to the Covid-19 pandemic. The length of the economic effects is uncertain, but I fear it is likely to extend well into 2021 and possibly beyond. The anticipated reductions in financial support from state schemes will probably trigger more hardship for individuals and companies," said Chief Executive Jonathan Lander.
Shares in Volvere were up 3.3% at 1,420.00 pence on Friday in London.
By Dayo Laniyan; [email protected]
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