Last checked at 26 Jun 2008 07:00
Publishing Technology PLC ("Publishing Technology" or "the Company")
Contract win and trading update
Publishing Technology which provides targeted software and consulting solutions for publishers and information providers is pleased to announce that Washington DC based BioOne, has selected the PCG division of Publishing Technology PLC to provide its content sales representation. BioOne who provide a unique aggregation of high-impact bioscience research journals, have seen a consistently large increase in sales since its inception eight years ago, have selected PCG because they believe that PCG can provide the impetus to continue the growth.
The three year agreement will represent a 50% increase in revenues (approx £500,000 net) for the PCG division of Publishing Technology in 2009, with sales starting in quarter three of 2008.
Trading update
The Board of Publishing Technology believes that contract gains such as BioOne underline the achievements of the group since its inception in 2007. In 2008, the group has concentrated on increasing revenues whilst rationalising costs, and focusing on higher margin activities, and the Board is pleased to report positive progress on all fronts. Revenues have increased quarter on quarter and overheads reduced, whilst, with the addition of the BioOne contract, recurring revenues are now expected to exceed 65% of total revenues for the group. Cross-selling of the range of products and services within our established customer base has exceeded forecasts, and the order book for the remainder of the year is healthy with a high level of signed business.
The Board is seeing no discernable slow down in market activity, and believes this is because Publishing Technology provides the means for publishers and information providers to increase their revenues, whilst rationalising their costs.
The Board intends to continue to pursue organic growth and increased profits and, where appropriate, earning enhancing acquisition opportunities. A further update will be given at the time of the interim results in August 2008.
George Lossius, CEO of Publishing Technology commented:
"This represents a significant advance for the PCG division which has shown significant growth in the last couple of years, and this contract will support the group as it targets growth and increased profits. BioOne is a highly respected source of bioscience research materials, and we are delighted to be given this opportunity to represent BioOne and its team. "
Martyn Rose, Chairman commented
"I am delighted with the progress Publishing Technology has made since its inception, and feel more confident now than at any time that the merger of last year was the right thing for us, our investors and customers, and I would like to thank them for their support during this time."
For further information please contact:
Publishing Technology PLC
George Lossius/Alan Moug 01865 397800
FinnCap, nominated adviser
Geoff Nash/Rose Herbert 020 7600 1658
The Communication Group plc
Richard Evans 020 7630 1411 / 0775 108 7291
Kit Bingham 020 7630 1411 / 0788 074 8672