KEY POINTS:
ProvencoCadmus has reported a loss of $36.3 million after restructuring costs and the write-off of intellectual property assets and tax losses.
The company said the loss was disappointing. It compared with a loss of $3.1m last year for Provenco.
There was a significant downturn in the retail sector which reduced sales of its Eftpos machines.
The company wants to raise new capital but is being advised against tapping the equity market in the current environment so is looking at other options, including selling assets.
"The group expects to be able to advise the market of specifics in this regard, by late September," the company said.
The trading loss was smaller at $6.9m and the company said it had positive operating cash flows of $9.8m.
Provenco and Cadmus merged in May and the results include a full year for Provenco and the last two months of the full year for Cadmus.
The company reported revenues of $160.9m.
It has reviewed its intellectual property assets and opted for some big write-offs.
ProvencoCadmus has also secured an additional $8m of working capital facilities underwritten by cornerstone shareholders Todd Capital and Peter Maire.
This facility provides a bridge while the company goes through with its recapitalisation.
"Although the 2008 year has been difficult with very disappointing results, the outlook for ProvencoCadmus is positive, as we have realigned the organisation to effectively complete globally in today's market conditions," chairman Rick Christie said.
- NZPA
