Brocker Lifts Business Performance
Posts Turnaround Result to June 30, 2001
Auckland – September 18, 2001. Brocker Technology Group Limited, (Nasdaq:BTGL, TSE: BKI) an IT and telecommunications company, today announced a marked improvement in its business performance.
Brocker’s first quarter EBITDA earnings to June 30 2001 increased to C$963,761 compared to a deficit of C$423,352 for the same period last year.
The company reported a C$89,000 net loss after tax for the first quarter ended June 30, 2001, compared to a C$645,754 loss for the previous year.
The improvement in Brocker’s operating performance follows a loss of C$19.3 million reported for the year ended 30 March 2001, and reflects the company’s restructuring initiatives. These have included the sale or closure of non-performing entities, a significant reduction in corporate costs and the continued investment and focus on the company’s profitable business units.
Brocker’s revenues totalled C$20.3 million for the quarter, a reduction of 28.7% from the first quarter of the 2001 financial year. The lower revenues can be attributed to Brocker’s decision in February 2001 to withdraw from its unprofitable distribution business in the face of reduced demand, increased competition and declining margins. This has released investment capital, reduced inventories and allowed repayment of the associated debt facilities.
In addition, the acquisition of Generic Technology Limited in October 2000, which has a long established track record of profitability, was also a positive contributor to the latest quarter’s result.
“We are delighted with the turn-around in operating profitability and we are diligently looking forward to build on this result. We continue to be focused on appropriately allocating financial and intellectual capital to areas of growth in the company which we believe will generate the best return for our shareholders,” says Brocker’s General Manager Commercial Ventures, Simon Jones.
“We are very pleased with the financial tightening that Brocker has achieved during this past financial year while building a platform for enhanced profitability,” Brocker’s Chief Financial Officer Grant Hope.
Brocker’s most recent
financial statements may be accessed by visiting the
company’s website at
About Brocker Technology Group
Brocker Technology Group is a publicly listed
company on the Toronto Stock Exchange (symbol:BKI) and
Nasdaq (symbol: BTGL). From its origins distributing IT
products, Brocker has become a communications innovator,
developing and acquiring expertise and intellectual property
with global application. The company’s broad range of
products and services spans: telecommunications, e-commerce
and information management. To support these operations,
Brocker is structured into three divisions: Online
Telecommunications, Professional Services and Datec.
Brocker are specialists in developing and implementing effective e-business strategies for large enterprises. The company works with utility companies and others to improve the management and communication of information as well as developing innovative bundles of telecommunication services for large user groups. Brocker also has proven capability in the design and management of IT systems, across the South Pacific.