Last checked at 20 Jan 2009 07:00
20 January 2009 Corero PLC ("Corero" or "the Group") 2008 Performance and Trading Update
Corero plc, the specialist provider of software solutions to the banking and securities and education markets confirms that it ended the 2008 financial year with results in line with expectations and with a significant improvement over 2007.
At the time of announcing our Interim Results for the six months ending June 2008, we anticipated an operating profit for the second half of 2008 and that we would be cash generative during that period. I am pleased to say that these goals were met and exceeded.
Operating profit, subject to audit, is expected to be in excess of £250,000 for the full year 2008. This compares to an operating loss of £798,000 in 2007. The Company was profitable in both halves of 2008. Cash balances at year end 2008 were in excess of £1.14 million, compared with £825,000 at 31 December 2007. The Business Systems division, helped by the launch of a new students' record product, had its best year ever. Despite the adverse conditions in the investment banking sector, the Financial Markets division moved into profit in the second half of 2008 for the first time since the second half of 2006.
The group expects to announce its full audited results by the end of March 2009; these will reflect the effect of interest payments and any IFRS accounting adjustments.
Because of the worsening global economic situation it is difficult to predict future performance with certainty. However, the directors expect the group to make an operating profit in 2009. The Business Systems division should continue to do well in 2009 in the education sector, although we will need to make further investment in its products, in order to take advantage of future market opportunity. We also expect the Financial Markets division to have a slightly better year, which we anticipate will set the foundations for growth in 2010 and 2011.
Enquiries:Corero plc
Peter Waller, Executive Chairman Tel: 07785 228080
Duncan Swallow, Financial Controller Tel: 01923 695136
John East & Partners Limited
John East/Virginia Bull Tel: 020 7628 2200
College Hill Tel: 020 7457 2020
Matthew Smallwood Tel: 020 7457 2047
About Corero
Corero designs, develops and delivers market leading software products for financial institutions through its Financial Markets Division, and business and education markets through its Business Systems Division.
Blue Curve software allows organisations to vastly improve the production and distribution of their financial research. It collates and presents complex financial data efficiently and quickly for analysts to make informed opinions on market conditions and trends. It speeds up the process of content creation, content approval and publishing. And it also makes sure that each piece of content conforms to the correct regulatory requirements, and that it gets sent to the right people, using the right method and at the right time.
Radica CAPS is a European leading software system that addresses the needs of asset servicing operations for the global banking & securities sector. By fully automating the life-cycle of corporate actions, dividends, including taxation and new issues and placings, Radica reduces the serious operational risk of missing or miscalculating corporate events. This area of operations has traditionally been very manual with all the risk and cost associated with such processes. Radica is designed for a global market and can address the needs of financial institutions from Europe, North America or Asia Pacific.
Resource Financials, which is ICAEW accredited, is at the core of our suite of business applications. Solutions also exist for eProcurement, Project Costing, HR & Payroll, Continuing Professional Development and Learner Management. Together with Workflow and Web Applications, covering Reporting, Timesheets, Expenses and Requisitions, there are over 20 highly integrated modules offering large and small enterprises modern and dynamic business solutions.
Resource EMS, our new Learner Management platform manages the students, tutors and processes within Further Education by electronically capturing the information required throughout the "learning lifecycle", by satisfying Government reporting requirements and, most importantly, by helping to secure the funding upon which Colleges depend.
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