BTG results scarred by restructuring

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The Independent Online
BUSINESS Technology Group, the office equipment company chaired by Tony Berry - who is also a director of Tottenham Hotspur, the football club company - has reported a pounds 6.3m loss for the year to 31 December.

It is the first full year under the chairmanship of Mr Berry and the poor results bear the scars of a restructuring programme.

The loss, following a pounds 7.3m loss last time, includes pounds 3.8m from the sale of a non-core office supplier business and a leasing operation. BTG incurred another pounds 800,000 cost from what it described as a fundamental reorganisation. Another pounds 300,000 was lost in disposing of fixed assets.

However, trading profits from ongoing businesses, which include the service and sale of photocopiers, facsimile and vending machines, improved. BTG made an operating profit of pounds 724,000 in these businesses and it has pledged to stay involved with them. In 1991 it made an operating profit of pounds 437,000.

Mr Berry said: 'Whilst economic conditions have remained difficult throughout 1992 the group has made considerable progress resulting in a significant reduction in the group's borrowings, the return of profitability of the group's core activities and an expansion of the group's machine base through acquisitions.'

He indicated that he would fund acquisitions by calling on the market. The group reduced its debt from pounds 13.7m to pounds 4.7m in the year by generating cash from operations and through the disposal programme. Mr Berry said he did not want to borrow money again to expand the business.

The shares fell 1p to 15p.