Business Systems Group gets back in the black
Getting over contract losses
Business Systems Group has dragged itself back into the black after the loss of a £2m contract hit the company hard.
BSG lost a contract with Mapeley Estates in March 2006 and warned shareholders then that it would hit profits.
Although it still made a loss of £276,000 in the year ended 31 March 2007 it did break even in the second half of the year.
Turnover was down 5.1 per cent to £32.9m, compared to £34.6m in 2006.
Roger Keenan, chairman of Business Systems Group, said: "The main objective of the year was to move the Group back to breakeven following the loss of a contract in March 2006, the consequence of which was to take the business into loss, as seen in the interim results. I am pleased to report that we achieved breakeven in the second half of the year following a good performance by all parts of the Group"
The company did not pay a dividend to shareholders in 2006 and does not expect to pay one this year either.
Looking forward BSG intends to re-jig its managed service products to take advantage of a growing market.