Holders Technology PLC
19 December 2005
The previously announced rationalisation of European activities has been
successfully completed with Screen Circuit, the loss making Dutch based
activity, now incorporated within Holders Technology BV and the previous Screen
Circuit management having left the combined company. Our three German
subsidiaries have been merged to form Holders Technology GmbH. The
non-recurring costs of this restructuring and other rationalisation measures are
expected to amount to £128,000 in the year to 30 November 2005.
Trading for the Group in the second half of the year has been below market
expectations. UK sales were broadly in line with budget, as were those of our
Swedish company Holders Technology AB, but the German and Dutch operations have
had a weaker second half than anticipated.
Our Chinese activities are still in their formative phase but nevertheless have
achieved an encouraging growth in turnover and have made a positive contribution
to Group profitability in the second half of the year.
The board believes that the results for the year to 30 November 2005 will be
below current market expectations principally due to the impact of the
non-recurring costs of the European rationalisation coupled with the previously
reported bad debt in the UK of £53,000. The Group was cash generative in the
year and the balance sheet remains strong.
This information is provided by RNS
The company news service from the London Stock Exchange
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