SMS Management and Technology told the Australian Stock Exchange today in a statement which disclosed an AU$47.9 million decline in revenue for the 2002/2003 financial year: "Trading conditions for the consulting and IT services market worsened in 2003, hitting their lowest point in 20 years and SMS was adversely affected".
The company said it had discontinued its Internet and e-commerce developer business, "bringing SMS back to its traditional business of management and information technology consulting services," while reducing corporate overheads from AU$10.6 million to AU$5.1 million over the past two years and restructuring its loss-making U.K. operation.
SMS said the telecommunications and banking sectors "experienced the greatest contraction in demand," while the company experienced growth in government, mining and defence.
The news wasn't all bad -- the company posted earnings before interest, tax, depreciations and amortisation of around AU$7.7 million. However a write down in goodwill saw the company's net loss over the last year amount to over AU$106 million.
Investors reacted positively to the report, pushing the company's share price up 9.5 percent to $0.23, still well short of its 52 week high of $0.53.
