Office & Electronic Machines Plc has returned to profitability after its poor year-end loss of UKP2.4m before tax (CI No 1,462). The office equipment distributor reported an operating profit of UKP35,000 which fell to UKP10,000 after daunting interest charges of UKP25,000, and turnover fell to UKP7.7m compared with UKP9.2m for the same period last year. The company says that it has been concentrating on running down its loss-making Triumph Adler typewriter and printer distribution business which contributed UKP5m to turnover, and it now plans to focus on retailing and service products. Both the furniture and stationery divisions have been reorganised and the number of sales staff increased. The ScreenTyper word processor business is said to be making a positive contribution, but it has slowed down and the company claims this is due to a combination of market contraction and the disruption caused by withdrawing from Triumph Adler distribution. Office & Electronic has disposed of a number properties in London and Leicestershire and this has enabled the company to eliminate its overdraft and end the six months with a positive cash balance.
