LONDON (Alliance News) - Mortice Ltd Thursday said that revenue in its last financial year rose about 20%, in line with current market expectations, but profit will fall short of expectations due to increased investments, the cost of maintaining competitive pricing in its facility management business, and the costs of seeking acquisitions.
The security and facilities management company focused in India said it now expects earnings before interest, tax, depreciation and amortisation to be about USD4.2 million in the year that ended March 31, up about 21.8% on the year from USD3.5 million, and pretax profit to be about USD2.2 million, up about 19.2% on the year.
It expects to publish its results for the year before the end of August.
The investments Mortice made during the year included in sales and marketing, a new enterprise resource planning system, the creation of a new command centre in Gurgaon and the start-up of operations in Sri Lanka.
It had said in April that it was going to start considering other options, including acquisitions, to drive growth as relying solely on organic growth "may not always be optimal" in some geographies.
Mortice shares were untraded in London Thursday. The stock last traded at 60.00 pence.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
Copyright 2015 Alliance News Limited. All Rights Reserved.
