28 July 2014 – final results
The group has announced disappointing results for the year to 31 May, although these had been well flagged previously. Revenue for the year declined to £32.9m (2013: £40.0m) with an adjusted loss before tax of £0.43m being recorded (2013: profit £3.05m). Despite this, the group’s net cash balances had risen to £2.5m at the year end (2013: £1.9m) although as in the previous year no dividend was paid. The lower level of revenue was due to delays in new contracts and the timing of new potential business wins remains uncertain. Clearly the introduction of 4G provides the group with a number of opportunities but given the lack of clarity over new business the shares can only be classed as a SPECULATIVE BUY.