Business
Pre-Close Trading update
Pre-Close Trading update.
About this update from Getech Group Plc
[{"type":"text","content":"\n \nRNS Number : 9608O GETECH Group plc 13 August 2014 \n \n\nGetech Group plc\n(\"Getech\" or the \"Company\")\n \nPre-Close Trading update\n \nGetech (AIM; GTC), the geoscience business specialising in the provision of data, studies and services to the oil, gas and mining exploration sectors, provides a pre-close trading update for the year ended 31 July 2014.\n \nPre-Close Trading update to 31 July 2014\nAs referred to in the trading update on 10 June 2014, the first part of the financial year witnessed lower spending across the whole oil and gas exploration sector.\n \nHowever, as anticipated in the trading update on 10 June 2014, the Company had a strong end to its financial yearand subsequently signed several new Globe, data and study contracts with an aggregate value in excess of $5m. \n \nProvisional results for the 12 months to 31 July 2014\nUnaudited preliminary results for the financial year are expected to show revenue of £6.6m, profit before tax of £1.0m, profit after tax of £1.4m and an estimated EPS of 4.6p.\n \nAs at 31 July 2014, the Company held cash reserves of £3.4 million which, along with committed income for the next period of Globe and other projects, provides a strong balance sheet for expanding current operations, developing new business streams related to our current activities and to consider strategic acquisition targets.\n \nThe Company recently retained specialist advice with regard to the UK Science and Technology Research and Development Tax Credits (\"R&D Tax Credits\") and expects to receive significant retrospective tax credits for the previous two financial periods. The provisional figures above include the impact of the anticipated tax credits. The Company also believes that it will be eligible for R&D Tax Credits at similar levels for the year 2013/14 and future financial years.\n \n \nOutlook\nLooking forward, the Company remains well placed for growth:\n· The Company's market leading gravity and magnetic data continue to provide a major source of income, with the US gravity data being particularly strong due to ongoing growth in expenditure focussed on onshore unconventional gas and oil. The Company is also seeing the results of investment in leading edge technology such as the multi-satellite gravity data...