Ashley House slides into FY loss

26th Jul 2011 08:29

Health and social care infrastructure specialist Ashley House swung into a full year pre-tax loss in what the company described as 'a difficult and uncertain year.' Amid the ongoing NHS re-organisation and in view of the continuing uncertainty it warned it is not expecting to grow in the short term. "However, we have taken the necessary steps to ensure that it is well positioned, in commercial and financial terms, to deliver growth in the longer term," the group said in a statement.For the year ended 30 April 2011 the group reported a pre-tax loss of £7m compared to a pre-tax profit of £1.7m a year earlier. Gross revenue increased 10% to £27.5m. Pre-tax profit before provision rose 6% to £1.8m. EBITDA before provisions increased 14% to £3m "Change and uncertainty have become an integral part of the healthcare market at present, with the NHS undergoing a significant and as yet unfinished reorganisation. In view of the on-going change in the NHS, the board has decided to make an £8.9m provision against accrued income," Ashley House said in a statement.Despite the necessary write down, Ashley House finished the year with net cash of £1.3m compared with net debt of £2.3m last year.In London shares of Ashley House fell 1p or 6.78% to 13.75p in early trading.---CJ