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Disposals see Fayrewood's profits rise 500 per cent

Written by Sam Fountain

Thursday, 27 March 2008

Computer hardware distributor, Fayrewood has posted its results for 2007 featuring a swing into profit, and said that the company remains in talks with North Atlantic Value over a possible offer for the company. The Luton-based company said that pre-tax profits from its continuing operations climbed to £936k for the twelve months to December, up from a loss of £242k last year on the back of a £7.3m increase in revenues to £129.6m. The firm, which returned £35m to its shareholders during the year after its disposal of Banque Magnetique and its holding in ComputerLinks, said that it is continuing offer talks with its largest shareholder, North Atlantic Value LLP in an attempt to maximise liquidity and shareholder value. "2007 was an important year for us which saw the sale of the balance of our holding in ComputerLinks and the disposal of Banque Magnetique," said chairman, David Kleeman. "During the year, we were able to return £35m to our shareholders. We continue our discussions with North Atlantic Value LLP in relation to a possible offer for the group as part of our overall strategy of maximizing shareholder value and liquidity." The year's disposals have left Fayrewood with Birmingham-based Interface Solutions as the core of the company, which stands to benefit from new internal IT systems and more effective management reporting systems recently put into place, which Fayrewood said "should materially assist the company's ability to generate more consistent and positive returns in the future." Shares in Fayrewood have grown by 4p, or over three per cent to 117p. Set as favorite Bookmark Email This Hits: 406 Trackback(0) TrackBack URI for this entry Comments (0) Subscribe to this comment's feed Write comment This content has been locked. You can no longer post any comment.

 

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