Newcall Reports Full Year Profit
27 February 2004
NEWCALL REPORTS FULL YEAR PROFIT
Newcall Group Limited (NGL) has reported its second full year of profit for the year ending 31 December 2003.
Operating Revenue for the period was $1.691 M compared with $23.155 M for the same period last year. The decline in revenue is attributable to the sale of Newcall's energy subsidiary.
Operating Profit for the period was $114 K compared with $1.865 M for the same period last year.
The operating profit follows on from the ongoing liquidation of Encil Energy Limited, which was formed after the Energy Online Limited customer base and certain other assets were sold to Genesis Power for $4.4M.
During the year, NGL's cornerstone shareholder, Charoong Thai Wire & Public Company (CTW), and its wholly-owned subsidiary, CTW Beta Company Limited (BETA), capitalized NGL's outstanding debt and interest ($2.2M) for 45.17M shares at 5.2 cents per ordinary share. The transaction was approved by the Takeovers Panel and NGL shareholders at a special shareholders' meeting on 17 September 2003. As a consequence, their combined shareholding increased from 33 per cent to 49.55 per cent.
Chief Executive, Jim Bracknell, said the group has engaged Grant Samuel to seek a buyer for its ISP, Iprolink Limited. Once Iprolink is sold, Newcall will be a cashed-up public shell with no operations. "The top priority for the Board is now to find a merger or acquisition which will assure the company's future," he said.
Mr Bracknell added that the company will not likely be profitable in future periods without such a merger or acquisition.