High interest rates and currency exchange rate volatility have taken their toll on Bryant Technology`s full-year figures.
<B>Salient figures</B>
Bryant Technology results for the year to 30 June 2003.
Previous year`s figures in parentheses:
Revenue: R3.6m (R4.18m)
Operating profit: -R0.54m (-R0.31m)
Net profit before tax: -R0.62m (-R0.34m)
Profit for the year: -R0.62m (-R0.34m)
EPS: -0.32c (-0.18c)
HEPS: -0.32c (-0.18c)
Current assets: R3.55m (R4.34m)
Cash and equivalents: R1.26m (R1.27m)
Current liabilities: R1.05m (R1.37m)
The company`s loss for the year to 30 June deepened to R0.62 million, against a loss of R0.34 million for the previous year.
A headline loss of 0.32c per share compares with a previous 0.18c loss a share.
Director Bill Marchant says the high interest rates and exchange rate volatility had a negative effect on business confidence, resulting in buying policies geared mainly to maintenance expenditure and purchases of necessity.
"Furthermore, although sales volumes decreased marginally in real terms, the significant overall strengthening of the rand had a major impact on reducing turnover in rand terms and a consequent reduction in gross profit due to fixed margins on many stock lines."
He says the group expects the interest rate reductions since June to contribute significantly to a positive change in business confidence and, providing there is less volatility in exchange rates, Bryant expects a positive change in buying policies in the second half of the 2004 financial year.
"In addition, we are currently investigating further avenues to distribute products at better margins together with possible opportunities for diversification."
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