ILI7 Aug 2012 09:16
Commenting today, Richard Clothier, Chairman of Imagelinx plc, said:
"The half year results reflect the full impact of the loss of P&G as the Group's largest account. The remaining business has grown a little from the same period last year and after a significant period of change is now refocused on its core business and on innovation and customer service.
The financial performance for the majority of the first half was ahead of management expectations, however, in the latter weeks we experienced a sudden drop in revenue that resulted in a trading loss. Existing accounts have been less active than we would normally expect, but new clients in Europe have started to generate revenue which we expect to improve our financial performance during the second half.
Adjusted EBITDA, before exceptional items, improved to £104,000 from a deficit of £138,000 in the second half of 2011 as the Group's cost structure was brought in line with the expected turnover. Action taken earlier in the year to realign cost with revenue has resulted in net cash remaining positive and unused working capital facilities are in place to fund growth."