Merit Group, formerly known as Dods Group, disclosed that its pretax loss for the year ended March 31 has widened to £3.7 million ($4.6 million), compared to £1.7 million in the previous year. The increase in the loss is attributed to non-recurring profits, losses on disposals, and the disposal of lease right of use assets. Despite a challenging macroeconomic environment and the impact of higher inflation and interest rates, the data-and-intelligence provider remains optimistic about the future.
A Promising Outlook
Although facing various obstacles, Merit Group has made a positive start to the new fiscal year and is now in a stronger position following the completion of its restructuring. The company is confident in anticipating further growth in both profit and revenue in the coming year and beyond. Mark Smith, Chairman of Merit Group, emphasized that the significant cost reduction resulting from the disposal of their London office lease and other operational savings will positively impact the group’s performance in fiscal year 2024.
Increase in Revenue
Despite the widened pretax loss, Merit Group recorded a 5.6% increase in revenue, amounting to £18.6 million.
Encouraging Stock Performance
At 0843 GMT, Merit Group’s shares were up by 2.5 pence or 5.9%, reaching 45.0 pence.