Petards Profit Grows Despite Revenue Deferral Following Delays

LONDON (Alliance News) - Security and surveillance systems provider Petards Group PLC on ...

Alliance News 14 March, 2018 | 11:43AM
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LONDON (Alliance News) - Security and surveillance systems provider Petards Group PLC on Wednesday reported growth in annual profit in 2017, though figures were hit by a delay in software and hardware development programmes.

Pretax profit for 2017 rose 30% to GBP1.2 million and revenue by 2% to GBP15.6 million, with Petards' gross margins increasing to 38.6% from 36.3%.

Petards said some GBP1.0 million of revenue has been deferred into 2018, after the group experienced delays in developing hardware and software functionality for its eyeTrain system following contract wins during 2016 and 2017.

As such, pretax profit came in below expectations in 2017, and adjusted earnings before interest, taxes, depreciation, and amortisation was flat year-on-year.

Offsetting this, however, were two exceptional items. Petards received GBP702,000 in the settlement of a historic matter from over ten years ago as well as the reclassification of its GBP211,000 deficit on its currency translation reserve to income from equity.

Looking to 2018, Petards had an order book at the end of 2017 of GBP18.0 million, compared to GBP20.0 million the same day a year earlier. Of this figure, over GBP12.0 million is covered in 2018 and more than GBP5.0 million scheduled for 2019.

Petards shares were down 2.1% on Wednesday at 23.00 pence each.

By George Collard; georgecollard@alliancenews.com

Copyright 2018 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
Rating
Petards Group PLC 27.00 GBX 0.00 -
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