LONDON (Alliance News) - Proactis Holdings PLC said Monday it has hired a new chief financial officer amid an interim period which has seen its profit all but wiped out.
The spend management firm has appointed Richard Hughes as CFO and a member of the company's board from May 20. He is replacing Tim Sykes who was recently promoted to chief executive.
Hughes previously was finance director for telecommunications equipment manufacturer Arris International PLC's international unit.
In the six months to January 31, Proactis' pretax profit decreased to GBP301,000 compared to GBP2.5 million for the corresponding period a year earlier.
The company's revenue in the first half increased 4.9% to GBP27.7 million from GBP26.4 million.
"This set of results is the culmination of a number of the previously reported issues facing the US, French and German parts of the group; however much work has been undertaken and we are pleased to share the outcome of our review of operations with shareholders today," said Sykes.
Sykes added: "We are focused on executing on our plan and are confident that we have made significant steps in our journey to return the whole of the group to its attractive core characteristics. We have a proven proposition to address a large and growing market, and we are confident that this will drive growth going forward after a period of stabilisation."
The total contract value signed by the company in the period was GBP6.1 million, 8.9% higher than the GBP5.6 million signed last year. Proactis signed 34 new name deals in the period, flat on the year before.
Proactis seen "strong" upsell activity in the period, with 54 deals with existing customers compared to the 49 the year before.
The company's order book at January 31 stood at GBP44.6 million.
Proactis said it has a "comprehensive plan" in place to reduce its debt, which stood at GBP39.3 million at January 31. Part of the plan includes suspending the company's dividend payments for the "foreseeable future".
Shares in Proactis were up 3.9% Monday at 30.38 pence each.
