28th Jan 2010 14:52
ServicePower Technologies plc
("ServicePower" or the "Company")
Trading Update
Following the close of its 2009 financial period, ServicePower is pleased to report that it expects to finish the year with revenues in excess of management's previous expectations. Additionally, the Board expects to report a net cash balance of approximately £3.5 million at the year end.
As previously announced in our interim results announcement, the Board undertook a substantial restructuring programme which is expected to result in considerable costs savings for the Company and a more suitable cost base going forward. This restructuring programme will result in a one off exceptional charge of approximately £0.9 million in the Company's forthcoming 2009 annual results. Additionally, the Company expects to report a foreign exchange loss of approximately £1.2 million, and as a result of a change in revenue mix during the financial year due to two existing client contracts operating on a margin below our traditional growth margin, there will be a £0.6 million shortfall against management's previous expectations.
Mark Duffin, CEO, ServicePower said, "With a substantially reduced cost base following on the restructuring and a healthy pipeline of new orders we look forward to the future with confidence."
For further information, please contact:
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ServicePower Technologies PLC |
KBC Peel Hunt Ltd |
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Tel: +44 (0) 161 476 2277 |
Tel: 020 7418 8900 |
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Mark Duffin, Chief Executive Officer |
Matt Goode |
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Oliver Stratton |
About ServicePower
ServicePower, publicly traded on the AIM market operated by the London Stock Exchange (AIM:SVR), allows companies to locate their employed field resources in the right geography, ensure they have the right mix of skills, and outside this geography create a network of independent, authorised service contractors whose costs are efficiently managed by our sophisticated warranty management software. The schedules and routes for both the employed field resources and the independent servicers are optimised by ServicePower's technology to ensure the right balance between the cost of operations and ensuring customers receive a superior service experience.
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