Logicom Public Co. Ltd. reported a 24% increase in total turnover and a 10.5% in net profits mostly on the back of a highly satisfactory performance in overseas markets where it operates, while Cyprus operations lagged behind.
LOG, which is by far the island’s largest software and IT systems company reported total sales of CYP 79.1 mln in the first nine months of the year, up 23.8% from CYP 63.88 mln a year ago in the same period.
While Cyprus sales were flat at CYP 13.8 mln, overseas sales, mostly in the UAE and Greece surged to CYP 65.2 mln from CYP 50 mln, and now represent 82% of total turnover.
Gross profit was up at CYP 5.4 mln from CYP 4.5 mln in the first nine months, but the gross profit margin to sales was slightly lower at 6.8% from 7% before.
Total expenses were up 14.7% y/y at CYP 3.54 mln compared to CYP 3.08 mln due to the expansion in overseas markets with such expenses to sales declining to 4.5% from 4.8%.
Operating profits were up 44% at CYP 2.07 mln from CYP 1.44 mln a year ago in the same period. The share of Cyprus operations in operating profits improved marginally to CYP 968k from CYP 861k, or up 12.4%, but overseas operations lifted their share of operating profits to CYP 1.1 mln from CYP 580k a year ago.
Finance income fell to CYP 243k from CYP 275k due to lower cash balances but finance costs surged sharply higher to CYP 1.09 mln from CYP 548k a year ago, with some CYP 467.129 related to fx losses as the dollar gained sharply against the Cyprus pound.
Pretax profits were up at CYP 1.1 mln from CYP 1.05 mln before while net profit was up 10.5% year-on-year at CYP 1.165.751 for the first nine months of 2005 compared to CYP 1.054.421 a year ago in the same period. The net profits of LOG for the whole of 2004 amounted to CYP 1.4 mln.
Earnings per share were at 2.52 cent from 2.28 cent per share.
In the balance sheet, Logicom revealed a steady increase in stocks, up at CYP 9 mln from CYP 7.5 mln end of 2004, while debtor balances climbed to CYP 25 mln from CYP 20.4 mln, nine months ago.
Cash at bank balances fell to CYP 8.2 mln from CYP 9.6 mln end of 2004 and was part of the reason why finance income fell to CYP 243k from CYP 275k before.
Shareholders interest improved to CYP 17.5 mln from CYP 16.18 mln, while total bank debt was CYP 11.95 mln from CYP 14.83 mln at the end of 2004.
