Pick-popper software developer Sanderson Electronics Plc seems to be weathering recessionary storms well, its pre-tax profits up 16.7% to UKP2.8m, although it was not such plain sailing for Anaheim, California-based General Automation Inc, in which Sanderson has a 49% stake. General Automation incurred a pre-tax loss of $800,000 for the year on sales of $45.2m […]
Pick-popper software developer Sanderson Electronics Plc seems to be weathering recessionary storms well, its pre-tax profits up 16.7% to UKP2.8m, although it was not such plain sailing for Anaheim, California-based General Automation Inc, in which Sanderson has a 49% stake. General Automation incurred a pre-tax loss of $800,000 for the year on sales of $45.2m which, in turn, reduced Sanderson’s overseas income by UKP500,000 compared with last year. General Automation’s German plant has since been closed (CI No 2,037) and its Australian arm considerably cut back and it is hoped that the company will return to profit next time round. Sanderson’s turnover has remained steady rising 4.4% to UKP21.4m in the year. Revenues from maintenance, software licence fees and support contracts were over UKP9.5m. Maintenance and support revenues from General Automation Inc contributed a further UKP10m. The Sheffield-based group has also expanded this year with the acquisition of the remaining 45% shareholding in Sanderson General Automation – the UK subsidiary of its US affiliate – and a 51% shareholding in Astralogic Ltd. The company also has a new division, Sanderson Computer Based Training, set up following the acquisition of another Sheffield-based company, System Applied Technology, last week. Sanderson, which provides open systems, Unix and Pick database system software for 17 vertical markets including wholesale distributors, hotels, local government, aiports, tour operators and the police reckons it offers one of the most extensive portfolio of software packages available from a single supplier in the UK. It says it is now looking to raise its profile, and has spent UKP1m on marketing this year. It has recently retitled a number of its subsidiaries, for instance, to promote its name hence: GA Ltd has become Sanderson GA Ltd; Cotswold Computers Ltd has become Sanderson Cotswold Ltd; and Insight Terminals Ltd has become Sanderson Insight Ltd. The company is also sponsoring Sheffield Wednesday football club (CI No 2,017). In summary, the company is pleased with its performance, claiming its operating profits rose a record 38% to UKP3.4m and says it is well placed to take advantage of any economic upturn; a 5.4p dividend per share is recommended.
