22 September 2017 – interim results
Results for the first half of 2017 have been released. Revenue was $20.4m (2016: $21.8m) and gross margin fell slightly to 51.1% (2016: 52.1%). Overheads were reduced by 6% to $11.2m (2016: $11.9m) despite $0.9m of investment in US expansion and there was an operating loss of $0.7m (2016: $0.3m). Net cash as at 30 June 2017 was $4.9m (2016: $4.6m) reflecting a strong focus on working capital. The long term outlook remains good and we continue to rate the shares as a BUY although it has to be said these results are a touch uninspiring for those looking for quicker returns. Two of the directors have purchased shares following the announcement of the results, acquiring a total of 18,000 shares at prices of 201p and 203p, providing some support for our recommendation.