Global reports €4.3m half-year loss

GlobalCapital p.l.c. said today it made a net loss of €4,375,217 for the six months ended 30 June 2008 compared to a profit of €905,939 for the corresponding period in 2007.

The net loss, excluding fair valuations, revaluations, tax and impairment charges was €1,556,671 for the first half of 2008 compared to a net loss of €847,446 for the same period in 2007, on a like-for-like basis, the group said.

The fair valuations and revaluations were driven mainly by the market environment for the financial industry.

"The Board of Directors is focused on improving operational efficiencies, robust risk management practices and effective cost management, and will continue to explore initiatives to strengthen GCL’s core businesses," the group said.

"GCL is also pursuing actively its banking initiative and the board is optimistic that the requisite regulatory approvals to add banking to its existing business lines will be obtained. The Directors believe that the fulfilment of this strategy will go a long way in enhancing value creation to stakeholders, particularly shareholders."

The group said that despite the downturn in global major economies and the financial industry in particular, the directors remained committed to its strategic objectives.

No interim dividend was recommended.