Security technology developer Q Technology Group (ASX:QTG) has revealed it expects its 1H ebit to decline by roughly 50%, as a result of one-off M&A costs.
The company is forecasting an ebit of $280,000 to $380,000 for the half-year, compared to an underlying ebit of $593,000 in 1H10.
This year's results were hit by integration costs and expenses of around $700,000 associated with the $14 million purchase of API Services and Solutions, and a one-off loss of $136,000 accrued though the disposal of former R&D business QRSciences Pty Ltd.
But the company said it expects revenue to grow to around $17 million, from $10.2 million in the previous corresponding period.
It added that it had fully expensed the API acquisition during the half-year, and that the revenue and ebit estimations include only three months' of trading from the unit.
Q Technology, which was named QRSciences before the sale of QRSciences Pty Ltd, offers video monitoring solutions including CCTV, networking and video switching through subsidiary Q Technology.
It also provides locksmith services through API Services and Solutions.
Join the CIO Australia group on LinkedIn. The group is open to CIOs, IT Directors, COOs, CTOs and senior IT managers.