Investment losses hurt Laiki Investments

The 10% decline of the CSE GENX index during 2004 forced the results of Laiki Investments (LI) to remain in the red, but prospects for 2005 look good in view of the rebound in equity prices and increased volume traded on the exchange.

Laiki Investments (LI) reported that total income during 2004, based on the preliminary results was marginally lower at CYP 1.39 mln from CYP 1.43 mln in 2003.

Although the company managed to cut costs to CYP 993.000 from CYP 1.26 mln a year ago, the massive loss of CYP 1.8 mln sustained from its investment portfolio (2003: loss of CYP 1.1 mln) forced the results into the red.

Operating losses jumped to CYP 1.41 mln from CYP 967.000 in 2003 while net after tax losses were also higher at CYP 1.32 mln in 2004 compared to losses of CYP 1.18 mln in 2003.

Losses per share jumped to 0.66 cent from 0.59 cent previously.

Included in the results were a CYP 97.000 gain from the sale of its share in Laiki-CLR Ventures to CLR.

Despite the difficult conditions prevailing in 2004, Laiki Investments said it has won the mandate from a number of firms on capital raising issues, bonds, mergers & acquisitions, the benefit of which will be seen in 2005.