Openwork improves trading performance
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Openwork made a loss before tax of £3.1m in 2008, according to accounts filed at Companies House.
Listed as Openwork Holdings, whose primary activity is the Openwork network, the accounts reveal a considerable improvement on the loss of £6.3m recorded in 2007.
The directors’ report says the company made progress towards sustainable profitability in 2008.
Gross profits rose from £36m in 2007 to £38m in 2008.
The volume of mortgage business fell by 39% compared with 2007, but both pension and investment business lines continued to perform well, rising 14% and 5% respectively.
This increase was not enough to prevent aggregate revenue falling 11% from £233m in 2007 to £207.1m in 2008.
But the group managed to reduce its administrative expenses from £47.5m in 2007 to £39.1m in 2008.
Martin Davis, chief executive of Openwork, could not predict what its overall loss or profit will be for 2009 but says it expects to make an operating profit.
He says: “We are not at the end of this year yet so we have not announced our results. But we are aiming to make an operating profit after nearly breaking even in 2008. All the indications are that we will achieve that.
“From a profitability perspective we are having a much better time than last year. We have two exceptional issues in our 2009 accounts that will affect our profits but they are one-offs.”
Home of Choice announced its 2009 results for the year ending March 2009 last week.
It made a pre-tax loss of £100,145 compared with a £1.3m loss in 2008. Gross profits rose from £5.9m in 2008 to £6.8m in 2009.
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