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Pentagon Protection: 1H pre-tax losses

Solar protective and safety films supplier Pentagon Protection PLC, announced at the end of June 2009 that for the six months ended 31 March pre-tax losses were GBP 408,907 compared to a previous loss…

Solar protective and safety films supplier Pentagon Protection PLC, announced at the end of June 2009 that for the six months ended 31 March pre-tax losses were GBP 408,907 compared to a previous loss of GBP 79,311. For the same period, revenue totalled GBP 987,983 compared to the previous figure of GBP 913,360, with diluted loss per share of 0.077 pence versus 0.023 pence; and no interim dividend was proposed. The company also said that it will allocate resources to build the business development activities and thus further strengthen the profile, adding that once the economy shows signs of recovery, the Group will see even greater strengthening of revenues and returns. Moreover, a drop in margins on film application was also recorded, reflecting the competitive pricing required to achieve sales at a time when many companies have vetoed or substantially reduced capital expenditure in response to the economic environment contributed to the groups loss. Pentagon“s newly-acquired subsidiary, SDS, recorded very low sales during the six months to 31 March due to the time spent in the run-up to the acquisition on negotiations and legal matters, rather than on the generation of leads. The increase on administrative expenses was only 15% compared to the six months ended 31 March 2008. Net assets recorded 31 March were GBP 775,050, a decrease of 77% compared to the six months to March 2008; with the Group recording GBP 3,308,107 of net assets. However, this amount also included a large amount of goodwill on the Group“s balance sheet which was written off during the year ended 30 September 2008, and, therefore, the decrease in net assets is only 16%.

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