Vislink PLC
04 November 2004
Vislink plc
Trading update on operational strategies and prospects
Vislink reports that the £1.7m West African contract won in the first half of
this year, and referred to in the interim statement under the prospects for the
year, is now not expected to be delivered until 2005, due to the delay in
receiving the financing for this contract. The delay in financing is due to the
deferral of the distribution of the oil revenues to the respective regional
states until January 2005. This will therefore reduce the Group's operating
profits significantly below the current market expectations.
The Board has now completed the strategic review of the UK business and agreed
the business plan presented by the new management team, which is expected to
restore profitability and growth to the business. The exceptional costs of the
reorganisation of the UK business are not expected to be more than the market
expectations of circa £1.5million.
The Board is pleased with the progress now being made by the UK business which
has won a number of significant contracts since the recent International
Broadcast Convention held in September. The UK business now has a full order
book to meet its revenue targets for the fourth quarter of this year.
With the recovery in the UK business the Board considers the Group's prospects
for 2005 to be encouraging.
- Ends -
For further information on 4 November 2004, please contact:
Ian Scott-Gall 01488 685500
Chief Executive, Vislink plc
James Trumper 01488 685500
Group Finance Director, Vislink plc
This information is provided by RNS
The company news service from the London Stock Exchange
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