Losses down but hard going for Proventec

PROVENTEC, the Liverpool-based industrial steam cleaning services group, has announced a steep fall in losses, from nearly £23m to £5.3m, but said progress was being impeded by the general economic conditions.

The group, which cancelled its AIM-listing earlier this year on cost grounds but remains quoted on the Paris exchange, said it was focused on growth in the food manufacturing sector and had axed its loss-making businesses in Germany and the Netherlands.

Revenue in the year to the end of September fell from £19.7m to £14.3m.

Chief executive David Chestnutt said: “The past year has proven to be another challenging period for the group as trading has continued to be constrained by the wider economic environment.

“As such, the group has undertaken a further period of rationalisation, streamlining the groups’ offerings and continuing to make additional cost-savings where possible.”

He sait it was hoped that the cost savings and rationalisation will help inprove the  fortunes.

Proventec said it had sold its janitorial supply business based in Redruth in Cornwall, Contico Manufacturing. No further details on the transaction were provided.