Microvitec Plc, the displays manufacturer, networking and services company, produced dismal half-time results fully in line with its profits warning a month ago (CI No 3,198). With exports from its displays division hammered by the strength of the pound, revenue slumped from 33.8m pounds to 20.9m pounds and operating losses reached 2.9m pounds against a profit of 1.8m pounds at the same stage last year. But as a result of a restructuring program, the company sold off its accountancy software and computer maintenance businesses which brought in net profits of 2.9m pounds which left it with a meager net profit of 76,000 pounds compared with a 1m pounds profit last time. Executive chairman James Bailey says it has cut overheads and increased marketing in the display division, which was primarily responsible for the poor performance. He adds that it is now seeking strategic alliances to help combat the strength of sterling in its export markets.
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