LONDON (Alliance News) - Developer and manufacturer of digital security systems SerVision PLC Wednesday said it expects better results for its second half, as it reported a widened pretax loss for the first half of 2015.
For the half year to end-June the company reported a pretax loss of USD1.5 million, widened from a pretax loss of USD891,000 a year before, as revenue fell to USD1.2 million from USD1.8 million.
The company attributed its results to its transition to a new recurring revenue business model, which will generate less revenue initially, but will lead to more significant revenue of a recurring nature in the long term. Additionally, a number of opportunities were put on hold in the first half until its new IVG400-N product was ready.
"I am pleased to say that we have a healthy pipeline for H2 and I expect better results going forward, as our new IVG is slated for release in the coming weeks and we are poised to start collecting recurring monthly revenue from a number of existing projects and customers," Chairman Gideon Tahan said in a statement.
Shares in SerVision were down 4.8% at 3.45 pence Wednesday afternoon.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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