IndigoVision operating profits plummet

Internet video security company IndigoVision said operating profit more than halved as it battles against difficult trading conditions.Operating profit fell to £1.19m for year ended 31 July 2011 compared to £3.05m in the corresponding period in 2010. Revenues rose to £28.9m from £28.0m before. Chief executive Oliver Vellacott said, "Difficult trading towards the end of last year resulted in a reduction in operating profits, but the group continued to grow sales in some markets."Year end cash balances increased to £5.07m from £4.43m previously."We have had a slow start to the current financial year and although sales in the first seven weeks of the current year are approximately in line with last year, order intake is down on the corresponding period last year."IndigoVision said it is working on improving the rate of introduction of new products and it expects that these will start to show through in improved business results as the year progresses. However on a cautionary note, the group said it remains concerned about the impact of current economic conditions.The total dividend has been kept at 7.5p per share. ---CJ