View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
January 29, 1997updated 05 Sep 2016 12:19pm

DIVISION GROUP BEGINS TO REDUCE ITS LOSSES

By CBR Staff Writer

1997 is the year that Division Group Plc says it will be back in profit, and figures for the year to October 31 have brought lower losses for the company. The Bristol, UK-based virtual reality hardware, software and systems company reported net and pre-tax losses of 1.7m British pounds against losses of 3.9m pounds last time and revenue was up 1.4% at 4.9m pounds. The company has changed its business orienatation over the past year, discontinuing sales of its own hardware, while remaining a reseller for Hewlett-Packard Co and Silicon Graphics Inc systems, though work in this area is expected to decline over time. Division has shifted its emphasis to the development and sales of software products and services, with its gross margain already showing signs of recovery and a cash reserve of 4.5m pounds. Division has been talking about the Virtual Prototype for some time, and last year it changed to the Virtual Product, a computer model that shows what real products look like in three dimensions, and exactly how they work. Attention is being focused on the engineering sector with Division seeing it as an early virtual reality market which it can target its new software, with manufacturers recognizing the need for more realistic simulations of their products. The company has experienced disastrous financial results in recent years partly due to the non- performance of its partnership agreement with Hewlett-Packard (CI No 2466) under which Division became a Hewlett-Packard reseller. Selling products made by Silicon Graphics as well, it saw hardware sales plummet 50% in 1995, although in October of the same year Division became a Premier Partner with the company. Division now believes that it is in a much stronger financial position and will place emphasis on a move towards profitability in the coming year, with tighter controls on overheads.

Content from our partners
Scan and deliver
GenAI cybersecurity: "A super-human analyst, with a brain the size of a planet."
Cloud, AI, and cyber security – highlights from DTX Manchester

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how Progressive Media Investments may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU