Sharechat Logo

One-offs dent GDC

By Nick Stride

Friday 7th February 2003

Text too small?
GDC Communications' share price this week took a dive back below $1 after the company warned its December-year loss would be bigger than it previously thought.

GDC, a telecommunications services provider which listed in May 2000, said it expected to post a $4.5 million deficit.

It blamed the costs of closing "non-core" businesses and installing a new accounting system. Also to blame is the reversal of $866,000 of revenue booked in the first half. The money came from the sale of iVASP cash flows.

"Rather than forward selling portions of the iVASP revenue streams, the directors now intend that all contracted monthly inflows will be treated as normal revenue as and when received and will be recognised in the financial statements in the periods of receipt," the company said.

It also reported iVASP's business levels were growing steadily "and the reseller partnership with Telecom is expected to contribute very favourably to revenue growth this year."

GDC announced without explanation in December that its chief financial officer, Mike Price, had resigned. His position is being filled temporarily by consultant and former Fisher & Paykel CFO David Henry.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

NZ dollar withstands poor manufacturing data
Bublitz to serve home detention following appeal
Former G8 boss takes over management of Evolve
Precinct boosts earnings, withholds $34m from Fletcher
Sky TV shares rise on US$40m RugbyPass acquisition
Precinct boosts earnings, withholds $34m from Fletcher
Sky TV shares rise on US$40m RugbyPass acquisition
NZ manufacturing activity shrinks for first time in seven years
Orr defends RBNZ rate cut, says monetary policy looks ahead, not behind
Michael Hill underlying earnings fall 14% as margins squeezed

IRG See IRG research reports