AL Prochoice recoup prior losses

AL Prohoice Financial Services Pcl (PRO) announced a massive improved in results during the first nine months of the year, which helped shareholders funds back into positive from a net negative situation a year ago.

Net after tax attributable to shareholders in the first 9M 06 jumped to CYP 3.169.644 or EUR 5.49 mln from CYP 43k a year ago and CYP 57k or EUR 99k for the whole of 2005.

EPS was up at 8.17 euro cents from 0.16 euro cents a year ago in the same period.

The results include CYP 1.7 mln booked from the repurchase of convertible bonds issued with respect to the acquisition of Expresstock in 2002 that were due March 2008. The company said the CYP 1.7 mln gain emerged as it successfully bought back convertible bonds at 25 cents on the pound plus one share per bond or CYP 655k  cost for CYP 2.4 mln bonds.

PRO also took an additional charge of CYP 350.000 for provision of bad debts and CYP 900.000 in goodwill write-off with respect to the Expresstock goodwill in the books. Following the write-off the company still has CYP 988.900 on its books as goodwill.

A further improvement was recorded in total bank debt, which fell to CYP 7.1 mln from CYP 9.4 mln at the beginning of the year. Shareholders funds turned to positive for the first time in the last couple of years. The balance attributable to shareholders is positive CYP 999.660 or EUR 1.73 mln compared to a shortfall of CYP 2.27 mln previously with the book value per share now 0.026 euros while the share price on the CSE is trading at 0.16 euros.