Feeds

ilion in talks to flog German-speaking operations

They lose too much money

  • alert
  • submit to reddit

The essential guide to IT transformation

Networking distributor ilion has released its results for the first half of 1998, showing that while turnover increased by a healthy 42 per cent, profit crashed to almost a quarter of last year's figure. For the period ending 30 June, turnover for ilion stood at £125.6 million, an increase of 42 per cent on £88.4 million for the same period in 1997. At the same time, pre-tax profit fell from £4.0 million for the first six months of 1997 to only £1.2 million for the first half of this year. In the face of what the company admitted were worse than expected results, ilion has decided to pull out of Austria, Germany and Switzerland - three of its loss making territories. The German and Swiss operations lost more than £1 million between them in the six months up to 30 June 1998. At the end of the six month period debts totalled £9.3 million, compared with £4.9 million for the same period last year. A dividend of 1p per ordinary share will be paid out on 27 November - last year's dividend stood at 2p per ordinary share. Wayne Channon, ilion chairman, blamed a slow down in the UK market for the worse than hoped for results. Investment aimed at solving year 2000 problems has partially diverted spending from the client-sever market," he said. He also said that the second half of the year was expected to bring a general upturn in sales which would boost profitability. Channon said the sales of the poorly performing foreign businesses were "at an advanced stage" and would reduce ilion net assets by no more than £1.3 million. French subsidiary Alphamega has also been disposed of, in this instance via a management buy-out led by M. Simon Tournadre for £490,000. As Alphamega sells direct to end-users - in contradiction to the clean channel policy advocated by ilion - the parent company said it was pleased to be able to offload it in an amicable fashion. ®

5 things you didn’t know about cloud backup

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
Judge nixes HP deal for director amnesty after $8.8bn Autonomy snafu
Lawyers will have to earn their keep the hard way, says court
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.