STOCK WATCH
HITACHI SET TO POST LOSSES FOR YEAR
Hitachi expects to record a massive loss for the financial year to 31 March 1999, anticipating sales will fall by about six per cent, while pre-tax losses are predicted at around Y230 billion yen.
The company previously anticipated making a pre-tax profit of Y170 billion for the year, but blamed worse than expected conditions in the global chip market. Hitachi said restructuring would lead to special charges of about Y170 billion yen for the current year.
ULTIMA NETWORKS
Struggling systems integrator Ultima Networks has posted a pre-tax loss of #833,000 for the six months to 30 June, up from losses of #24,000 compared with the first half of 1997. Turnover also showed a sharp decrease, from #20.9 million a year ago to #8.3 million for 1998.
The group stated it intends to raise #2.6 million from a right issue to reduce the company's overdraft and provide capital to invest in facilities.
The rights issue will be fully underwritten by Ultima's newly adopted strategic partner, public sector IT services company Akhter Group.
DIALOG
Internet business information group Dialog, formerly Maid, has posted pre-tax profits of #4.7 million for the six months to 30 June up 80 per cent on last year's results, with sales up to #88.7 million from #14 million in the same period a year ago. operating profits rose 400 per cent to #13.3 million, the pre-tax figure includes paid interest on the debt used to fund the #260 million reverse take-over of on-line business Knight-Ridder Information last October.
EIDOS
Eidos has announced pre-tax losses of #2.3 million for the first quarter ended 30 June, down from losses of #8.6 million a year ago. Turnover increased 175 per cent to #25.8 million in the first quarter of last year compared with #9.4 million a year ago.
LONDON BRIDGE SOFTWARE
London Bridge Software reported a 183 per cent rise in profits to #2.7 million for the first half of the year ended 30 June. Sales for the period increased by 97 per cent to #8.1 million.
YAHOO
Yahoo is expected to take MCI Communication's place in the Nasdaq 100 index, when the telecoms company merges with WorldCom. Yahoo debuted on the stock market just two-and-a-half years ago at $11 and now trades at about $72, giving it a market capitalisation of $6.7 billion, although it achieved losses of $30 million on revenues of $70 million in the first half of 1998.
DELPHI
IT staffing and training company Delphi has posted its unaudited results for the six months to 30 June, revealing pre-tax profits of #2.1 million, down 70 per cent on the same period a year ago. Revenues were up 22 per cent on last year to #162.2 million. The company said the result of its strategy to invest in the IT systems market was mixed and as a result, it will exit that market 'as soon as is practical'.