Sheffield-based Pick popper Sanderson Electronics Plc turned in pre-tax profits down 27% at UKP2.4m for the year to September 30 on revenues up 44% at UKP20.5m. Recurring revenues from maintenance and support services were UKP9.5m, up from UKP5m. And Sanderson’s 49%-owned associate General Automation Inc, Anaheim, California, has added annual maintenance and support revenues of over UKP10m. General Automation, whose year-end date has been pulled into line with Sanderson’s, achieved a modest profit for the year, on sales up 81% at $48.6m, despite poor economic conditions in the US, Australia and New Zealand. SGA Pacific Ltd, in which Sanderson holds a 27% stake – in addition to the 51% held by General Automation – achieved the equivalent of UKP600,000 profits on UKP12m sales. Chairman Paul Thompson says the group is well positioned with its associated companies to expand its activities on an international basis, though performance currently continues to be affected by the recession – Sanderson, he says, is dependent on its recurring revenues to bring it through the sticky times. Thompson notes wistfully that if Sanderson had a majority stake in General Automation, consolidated group turnover would be around the UKP50m mark. Asked whether he’d like to add to Sanderson’s 49% stake, Thompson said he was quite happy with things the way they are, though there might be a time in the future when it would benefit the company to have consolidated revenues of UKP50m. As for cost-cutting, the chairman says the company has maintained staff levels at around 350 in the UK for the last two and a half years. As to whether Sanderson has plans to spread itself abroad, to protect itself from local economic difficulties, Thompson said any such decision would be General Automation’s, since Sanderson focuses on the UK alone, leaving the rest of the world to the General. In any case, you don’t really know what you’re buying in this recession, he commented. For the current year, Sanderson will be concentrating on its excellent software products: Thompson sees particular opportunities in local government with its package for the new council tax, within the Health Service with its ward and theatre application, and he feels very confident about the solicitors’ package, citing it as one of the best in the country.
