- Technology hardware group Northamber plc said it expected to show a small loss for the year compared with a previous break-even.

In an IMS for the third quarter to end-March, Northamber said Q3 turnover was about 2% lower than that of the second quarter.

Turnover for the year to March 2011 was 0.7% higher than for the same period last year, The group said this was a creditable result in the light of trading difficulties highlighted by others in the sector.

Pressure on margins continued and overall gross margins for the year to date were reduced by 0.7%. The group said that while newer vendors and products were contributing, 'disappointingly we are having to hold a watching brief on some of our smaller revenue contributors'.

'Ignoring some very low margin product areas that were discontinued during the period, turnover in the third quarter delivered a quarterly increase of 13% against the second quarter.'

Northamber said that uncertainty in the economic climate 'makes any estimate of the future fraught, particularly with the impact of cuts and inflation which have yet to be felt'.

It added, 'Our results, whilst far from satisfactory, are considered to be reasonable in the circumstances and we have and are taking steps to strengthen the underlying operations of the company based on the sound foundation of our strong and liquid balance sheet.'

At 9:44am: [LON:NAR] Northamber share price was -0.5p at 60.75p

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