Reading, Berkshire-based Enterprise Computer Holdings Plc has recorded catastrophic end of year figures that its alliance with Granada Computer Services Plc and its shift in strategy just could not prevent. Although losses before tax were less than last year’s at UKP2.05m, compared with UKP6.14m, turnover plummeted 86% to UKP8.2m for the year ending March 31, from UKP58.2m in 1993. The company has now terminated its agreement with Granada which had been designed to take advantage of the latter’s position as a leading provider of independent computer maintenance. Enterprise Computer blamed its misfortune on the fact that its attempt to change direction from a secondhand mainframe supplier to become a player in the client-server market was taking longer than it had anticipated. It had announced these changes last year after a pitiful end-of-year statement in 1993 but said it quickly realised that given its financial state, it was doubtful whether money would be best spent in the technical and marketing programmes needed to establish the group in this field. So it tried to buy its way out of trouble and purchased Californian Database Server Systems Inc in February (CI No 2,368). Enterprise Computer says that the acquired company has indeed strengthened its hand in this field and it is on this section of the group that the company is pinning its hopes. It says the US market for these types of services is growing but prospects depend on how quickly it can establish a database server systems consultancy and training operation in the US. However, the company needs to get rid of some excess office and factory space which it describes as a considerable financial burden. It described the year as one of difficult trading conditions with its full share of disappointments. Not only did UK business continue to decline but its German and American subsidiaries had to be discontinued. Enterprsie Computer Services GmbH lost a major company which put recovery for the subsidiary out of reach and so was put into liquidation in January. And Enterprise Computer Services Inc, although bringing in business, was under such pressure that it too was discontinued. It also sold its minority in the communications arm of SRH Plc to TSB International of Canada.
