Dods slashes losses as turnaround gains traction

8th Jul 2014 13:19

Despite being in a "transitional year", political publishing group Dods delivered strong like-for-like sales growth in the year to end-March to dramatically reduce losses. Revenues of £19.8m were up 5.3% from the £18.8m produced in its previous 15-month reporting period, with adjusted earnings before interest, tax, depreciation and amortisation of £1.1m increased 51% year-on-year and pre-tax losses cut from £10.6m to £1.5m.An external review of the business has seen it simplified, with the five previous "independent and sometimes competing stand-alone units" now being reformed into two business units.Dods generated £0.4m cash from operations and invested £1.6m in technology, both software and hardware, as a "core element" of its turnaround. Chief Executive Martin Beck said: "Our investments in technology will be instrumental in enabling us to reduce discretionary and intermittent spend and increase more reliable, high retention, higher margin subscription based revenue streams. "We are reviewing and transforming our publishing and events operations which we expect to improve profitability. We are committed to creating a customer-focused culture in which all work collaboratively. All of this, however, must be achieved whilst operating efficiently and cost effectively. "The year ahead will be one of change as we both exploit the benefits of our investment in technology and enable more of our customers to get benefit from the compelling content we create."Shares in Dods were up 14.3% to 3p at 11:45 on Tuesday.OH