Renaissance Profit Trebles

The company says for the year ending December it made $1.364 million, well above its $439,000 profit the previous year.

Last September the company bought Christchurch-based distributor Insite Technology, but says even excluding that purchase the group operating revenue was 17% higher than the previous year.

"This reflects the strengthening of the company's position in its traditional markets. The company's trading margin, which had been declining for several years, stabilised in 2000 assisted by a change in product mix," the company said in a statement.

Renaissance, which distributes a number of technology and software products such as Compaq and Apple computers, says it increased market share in its core brands while the purchase of Insite took it into new product sector and markets.

"The Insite business ran well ahead of the levels we had forecast."

Renaissance says its @renaissance website continued to be a key part of its distribution strategy and by the end of 2000 was handling around 40% of total orders received.

From the beginning of this year the company has been separated into three autonomous business units - distribution, education and eBusiness - which it says has allowed for a more streamlined and focused management structure and clearer accountability.

In the current year the company is picking its distribution business will show the benefits of a full-year of its Insite purchase, while the education unit is also looking for growth.

The company's eBusiness division includes Conduit, a business that provides B2B platforms to a number of companies, and operates Renaissance's own site.

Earlier this month Conduit received $6.5 million from Singapore company DBS nominees in exchange for a 16.7% stake in the company, and now has offices in Australia and Singapore.

RNS sales for the year ended December grew to $156 million from $122 million previously. The company plans to pay a dividend of two cents per share.

Comments from our readers

No comments yet

Add your comment:

Your name:
Your email:	Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.

Related News:

UPDATE Renaissance to lay off up to 15 workers in store closures, sees gains in full-service retailing
Renaissance says 2013 earnings will be 'disappointing'
Renaissance posts first-half loss on shrinking margins from Apple products, impairment
Renaissance hires strategic adviser, cites low stock price
Renaissance takes legal action against Exeed
Renaissance's CEO Rendell accepts new position
Renaissance settles business sale, breaches banking covenant
Renaissance sells IT distribution unit to Exeed
Renaissance loss worse than forecast, flags possible capital raising
Renaissance shares surge on distribution unit approach