Stilo International drops after earnings slide

11th Sep 2014 10:53

Shares in AIM-listed Stilo International took a big hit on Thursday after earnings dropped by around half in the six month period ended 30 June.The firm, which develops content processing technology, posted earnings before interest, tax, depreciation and amortisation (EBITDA) of £48,000 (2013: £97,000), while profit before tax came in at £39,000, down from £72,00 a year earlier.Turnover was knocked lower thanks to a reduction in OmniMark software licence sales, dropping from £733,000 to £617,000, although this is expected to be offset by an increase in migrate sales in the second half. Adverse foreign currency effects dragged revenue lower by around £43,000, Stilo added.Chairman David Ashman said: "Significant progress has been made with the development of AuthorBridge, a new, ground-breaking web-based authoring solution for large enterprises, with customer pilot projects scheduled for later this year, and general release planned for early 2015."With a continuing healthy cash position and encouraging business outlook, I am pleased to announce the payment by Stilo of an interim dividend of 0.03p per share."Looking ahead, the group said its trading had continued in line with its forecasts and anticipates building on its current position in the DITA XML content conversion market.