For the full year ended December 31, 2003, Zoetermeer, Netherlands-based Pink Roccade reported net profit of 12.3m euros ($15.2m), up from 5.1m euros ($6.3m) the previous year, on revenue that fell 9.5% to 738.6m euros ($915.5m). The company managed to completely clear its 28.4m euro ($35.2m) 2002 debt, and reduce its long-term liabilities by 81% to 6.1m euros ($7.6m) over the year. Cash stood at 9m euros ($11m) at the end of the year.
Debt was reduced through a combination of property sales and restructuring that included the loss of 700 staff. However, Pink Roccade could not halt the revenue slide, which it claimed was caused by clients deferring investments combined with fierce competition resulting in downward pricing pressure.
Nevertheless, the company said it is cautiously optimistic about 2004, particularly because the last quarter of 2003 was its strongest of the year. It also added that it does not see any further price pressure for renewal projects and secondment activities, although price competition in the infrastructure management and outsourcing markets is still fierce.
This article is based on material originally published by ComputerWire
