(Alliance News) - Holders Technology PLC on Friday reported a swing to annual loss, as revenue dropped by a third and the company invested in its lighting and wireless controls solutions division, cutting its dividend in response.
The London-based company specializes in lighting components. The stock was down 7.9% to 76.00 pence on Friday morning in London.
It swung to a pretax loss of GBP259,000 in the financial year that ended November 30 from a profit of GBP787,000 the year before, as revenue fell by 33% to GBP8.3 million from GBP12.4 million the year before.
The company said additional costs from investment in staff, technology and product development for its LCS division meant its results were "adversely" impacted.
Executive Chair Rudi Weinreich noted that despite the full-year result being a loss, the second-half result was "much closer to breakeven", with a pretax loss for the six months of GBP33,000.
Holders Technology proposed a final dividend of 0.50p per share, bringing the total dividend for financial 2022 to 1.00p, slashed from 3.00p in financial 2021.
The company said the outlook remains uncertain, and sales are below expectations so far in the new financial year. Nevertheless, it continues to have a strong balance sheet and cash position.
By Sabrina Penty; Alliance News reporter
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