News blog
Publishing Technology
- BY: Andrew Hore |
- POSTED: 22/09/2014 |
Publishing software and services provider Publishing Technology is targeting an operating profit of £5m in five years time but this year’s results will be disappointing.
The target revenues are £25m with an operating margin target is 20% within five years. The new strategy is to work with third party implementation partners, including Cognizant which has recently been signed up. This will help Publishing Technology to grow internationally and enable its own staff to focus on higher margin projects.
More focus will be placed on the fast-growing Chinese market. This will require additional investment of £300,000.
This year management will be taking the write-offs and restructuring costs relating to the past and the full year loss will be higher than the first half loss. There will be a £1m charge relating to one major project and a further £1m of charges including bad debt provisions and unbudgeted development costs.
The overdraft facility is being increased to £3m. Research and development spending will continue at the current rate until late-2015. New chief executive Michael Cairns believes that the recovery should begin in the first half of 2015.
At 197.5p a share, down 42.5p, Publishing Technology is valued at £16.6m.
© 2024 Aim Micro. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
- Browse by issue
- All issues
- Popular tags
- All tags
- AIM Micro feeds
Keep up to date with articles published at AIMMicro.com. Subscribe to AIM Micro RSS Feeds
|