By PETER GRIFFIN
Payment terminal provider Provenco is edging closer to rewarding investors who stayed with it through hard times, making a profit of $2 million for the six months to December.
In the corresponding period in 1992 it ended up $177,000 in the red.
All going well, Provenco expects to report a pre-tax profit of between $4.8 million and $5.2 million for the year to June and may pay a dividend.
Its policy is to pay out 50 per cent of net profit after tax, subject to a review by directors each year.
Revenue grew 35 per cent in the period to $34.2 million, boosted by last year's acquisition of distribution company Transtech.
The turnaround in the company, which faced costly writedowns in divesting several internet companies it purchased during the tech boom, has come from focusing on its core eftpos terminal business.
Although 75 per cent of Provenco's sales are still local, it is looking to overseas markets for its growth. In Malaysia it is making good progress selling payment terminals to petrol station chains, recently signing a $21 million deal.
Malaysia, a country hit by high amounts of credit card fraud, is leading the charge to introduce new equipment for more secure transactions.
Provenco managing director Tony Bradley said the windfall for the company could be substantial for years to come.
Provenco's share price closed at 61c yesterday.
Provenco's terminals turn tables
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