Morse, Europe's biggest Sun and HP reseller, saw sales and profits slump for the full year to June 30. And this year is slightly weaker than last.

Sales were down 21 per cent from £586.1m to £465.2m, while Earnings before Bad Stuff fell 32 per cent to £24.3m. Pile in the Bad Stuff - exceptionals/ amortisation of goodwill etc - and the company records a pre-tax loss of £124,000, against £19.2m in the black last time around.

Morse says it will continue to reduce costs 'wherever possible', while ensuring that the fabric of the business is not damaged. Considering that Morse has been in cost-cutting mode for many months now, it will be interesting to see how much more fat can be squeezed.

Morse results.