26/11/2003
Business seems to be improving at last for games software developer Bits. The group, one of the smallest on Aim, posted a small profit of £23,000 for the six months to September, against a loss last time of £556,000. Sales increased 67.8% from £633,000 to £1,062,000. Foo Katan, chief executive, claimed the turnaround was largely due to risk management systems that have recently been put in place. According to Katan, the company is now more scalable as it has a small core workforce but is also able to hire short-term fixed contract staff for the always-prayed-for busier times. 'This enables us to react better whether the prospects are up or down'. Also, with Capcom, the electronic games mnufacturer and distributor, coming on board to distribute Rogue Ops in Europe in February 2004, Bits is anticipating good sales for the game. However, the smaller than expected royalties received from Die Hard: Vendetta have proved a disappointment. Speculative buy.
| Market cap: | £1.82m |
| PE Forecast: | n/a |
| Share price: | 4.63 |
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