Technology Venture Holdings' share price tumbled 15 per cent yesterday after it reported net profit slumped 46.8 per cent to HK$18.21 million last year.
This was despite a 19.1 per cent rise in turnover to HK$417.24 million, as the computer system integrator and software solution provider's profit margins were eroded by keen competition.
The counter closed at HK$1.13. The company, which provides information technology solutions to financial institutions, telecommunication firms and the public sector, blamed the slowdown in the information industry, as well as the collapse of the dotcom boom.
'We are not insulated from the global slowdown in the development of e-business and our software development operations have inevitably been affected,' chairman Ron Chan Tze-ngon said.
He said mainframe system integration was a sector that experienced an industry-wide slowdown after years of rapid growth.
While the firm had gained market share in the integration of China's automatic teller machines, he expected a decline in profit margin this year.
