(Alliance News) - Remote Monitored Systems PLC on Monday reported a narrowed annual loss after a substantial loss on change of ownership interests the previous year but reported a more than GBP100,000 impairment on Cloudveil Ltd.
Shares in Remote Monitored Systems were down 9.1% at 0.25 pence in London in afternoon trading.
The company made a GBP711,942 pretax loss in 2019, narrowed from a GBP713,905 loss the prior year after incurring a GBP42,273 loss on change of ownership interests the year before.
Also helping to narrow loss was GBP52,648 of revenue compared to no revenue the prior year. Even with cost of sales, gross profit was GBP26,066 versus nothing in 2018.
However, Remote Monitored Systems impaired its investment and goodwill from its 2019 Cloudveil acquisition with GBP125,983 of impairments recorded in the year. The company's operating loss on continuing operations before goodwill impairment was GBP582,736 compared to GBP665,343 in 2018.
Chair Nigel Burton said: "Cloudveil, the intelligence services and security risk management business acquired in September 2019, whilst also suffering delays and changes in scopes of work caused by the pandemic, has also experienced an unprecedented level of enquiries for its services from a variety of blue chip companies and other private and public bodies in the UK and Europe, and is at an advanced stage of negotiation of commercial terms with a number of these potential customers. As a consequence, Cloudveil is forecasting significant growth, including through sales of IRIS, over the next eighteen months, including contracts expected to start in the forthcoming quarter."
The chair also noted that: "GyroMetric, in which the company owns a 58% interest, though initially experiencing delays in both sales and installations as a result of the Covid-19 pandemic, now expects that a number of installations and trials including those at Tarmac and Clarke Energy will proceed as imminent maintenance windows arise at client sites."
By Anna Farley; annafarley@alliancenews.com
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