LONDON (Alliance News) - Pinnacle Technology Group PLC shares dropped on Friday after it said it narrowed its pretax loss in 2014 on a fall in impairment charges, amortization and depreciation, but said revenue also fell in the year.
Pinnacle shares dropped 14% on Friday morning to 6.97 pence per share.
The company provides a range of converged managed solutions including managed support services, unified communications and collaboration, communications and mobility, software as a service and infrastructure services.
Pinnacle reported a GBP511,811 loss in earnings before interest, tax, depreciation and amortization for the year ended September 30, narrowed from the GBP769,103 loss reported a year earlier.
The company recorded a GBP462,522 impairment charge on intangible assets, GBP370,699 in amortization of intangible assets, GBP310,849 in depreciation, and GBP280,608 in exceptional costs related to acquisitions during the year.
This led to Pinnacle reporting a GBP1.9 million loss before tax for 2014, narrower than the GBP2.4 million loss reported in 2013.
Revenue for the year fell to GBP8.4 million in 2014, from GBP10.1 million a year earlier, mainly caused by a 37% fall in revenues in the IT Security segment and a 29% fall in IT Services revenues compared to 2013, it said.
At the end of the year, Pinnacle reported a cash balance of GBP173,000 with additional overdraft facilities of GBP80,000 from HSBC Bank PLC.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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