LONDON (Alliance News) - Property developer Sigma Capital Group PLC on Wednesday said it turned to profit in 2014 as a fall in its cost of sales outpaced declining revenue and as the group made progress on its private rented sector business.
Sigma said its pretax profit for the year was GBP214,000, compared to a GBP856,000 loss in 2013. Revenue fell to GBP3.9 million from GBP5.8 million, but this was more than offset by a plunge in its cost of sales, down to GBP660,000 from GBP3.6 million in 2013.
The company said the results were in line with market expectations and said it made progress in 2014 on its private rented sector strategy, starting the first phase of its joint venture with Gatehouse Bank PLC and signing a strategic partnership deal with FTSE 250-listed property company Grainger PLC to create a larger-scale private rented sector portfolio focused on key cities in England outside of Greater London.
"Sigma made significant progress over 2014, as we focused on the delivery of our private rented sector strategy," said Sigma Chairman David Sigsworth. "With our private rented sector joint venture with Gatehouse gaining momentum and our relationship with Grainger now underway, we are confident of further progress to come over 2015."
Shares in Sigma were down 1.6% to 62.00 pence midday Wednesday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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