LONDON (Alliance News) - Tangent Communications PLC on Tuesday said that pretax profit fell by more than half in the first half of its financial year, amid "muted" sales growth, lower margins and more sizeable operating expenses.
Pretax profit fell to GBP326,000 in the half-year ended August 31, compared with GBP727,000 in the corresponding period the prior year.
Revenue rose to GBP13.4 million from GBP13.3 million, as an increase in print sales by 1% to GBP9.8 million was offset by flat agency sales at GBP3.5 million.
With new revenue being generated in "competitive but growing" areas of the market, operating margins were lower, the company said.
Chief Executive Timothy Green said the company expects to end the year in line with its current expectations.
Shares in Tangent Communications were down 12% at 1.65 pence on Tuesday.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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