StockMarketWire.com - Arcontech reports a significantly improved operating result for the year ended 30 June, with a loss before taxation and exceptional items of £35,565 - down from £340,750 last time.

After taking the benefit of the research and development tax credit of £100,251 (2013: £88,905) which the company receives due to the amount it has invested in qualifying product design and development, Arcontech achieved a profit after tax of £64,686 (2013: loss after tax of £251,845). Turnover for the year was £1,981,375 (2013: £1,830,717), an increase of 8%.

Chairman Richard Last said: "This increase, whilst positive, is lower than we would have hoped to achieve due in part to the continued lengthening of sales cycles and to customers prioritising areas subject to greater regulatory focus than those addressed by our products. However, at 30 June 2014 the annual recurring licence fees amounted to £1,985,355 (2013: £1,884,778) representing 98% of our annualised running costs (2013: 87%).

"As a result of negative distributable reserves, Arcontech has not been able to declare a dividend (2013:£Nil). We intend, however, when the company moves into sustainable profitability, to seek court approval to re-designate our reserves and thereby enable the company to pay dividends."


At 8:16am: [LON:ARC] Arcontech Group PLC share price was 0p at 0.17p



Story provided by StockMarketWire.com