It’s just over a year since Computergram first highlighted the emerging concept of the cordless pocket phonepoint telephone, since when we have given regular updates of the state of play. But so little has appeared anywhere else on the subject that the average reader might well have wondered what we were talking about. All that is likely to change from today, because Ferranti International Signal Plc took the opportunity of its annual results meeting yesterday to give its proposed Zonephone cordless phone service another plug, and this time, ears pricked up all over the hall and journalists clamoured for news of this revolutionary breakthrough. As for the figures, Ferranti’s results for the year to March 31, 1988 were swelled to healthy proportions by the inclusion of figures for its merger partner of eight months’ standing, International Signal & Control Group. Signal’s figures dating back to November, when the agreement to merge became unconditional, were subject to acquisition accounting. Pre-tax profits for the new group rose by 35% to UKP68m compared to UKP50.2m for the previous year on turnover up 31% at UKP822.1m. The company for the first time gave a breakdown in operating profits for its defence revenues which earned UKP67m in fiscal 1988 against its civil earnings of UKP11m. Sir Derek Alun Jones, chairman and managing director for the group said that future strategy would concentrate on shifting the current 80:20 ratio of defence to civil earnings towards civil playing a weightier role, although he refused to be pinned down to a specific target. But Sir Derek also said that he expected the immediate benefits of the merger to flow from defence related business. Ferranti International Dynamics which specialises in guided missiles would epitomise the benefits, he said. Ferranti is keeping an eye open for acquisitions in the civil sector but any substantial deal would have to be delayed for at least a year until the Signal merger is consolidated. Shopping in the civil arena will remain piecemeal for the time being. Some rationalisation is expected within the computer manufacturing plants which will share resources with military business. As for the Zonephone, the autumn launch date has now become before the end of the year. Alpha and beta trials of the hand-held equipment and phone points are being conducted this summer but a full-blown commercial service still needs the green light from the Industry Department. Sir Derek expects a decision within a few weeks.
