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Graphisoft Q2 profits plunge on higher costs; revenue target bumped down

Graphisoft Park, a listed company that owns and operates a business park in the north of Budapest, reported Q2 consolidated profit of €183,000, plunging from €3,038,000 in the same period a year earlier as costs rose sharply.

Graphisoft Park’s Q2 revenue rose 8% to €1,747,000 from the same period a year earlier. At the same time costs jumped 32% to €1,109,000, causing operating profit to drop 18% to €629,000. Graphisoft Park said it was lowering its revenue target for the full year to €6.8 million from €7.2 million. It projects net profit, excluding the effect of exchange rate changes and deferred taxes, of €200,000, down from €1.5 million in 2008.

Graphisoft Park’s racked up a first-half loss of €547,000, compared to profit of €3,247,000 in the same period a year earlier because of a big financial loss of €1,673,000. Revenue climbed 5% to €3,344,000 but costs rose more sharply, increasing 15% to €1,878,000, bringing operating profit down 4% to €1,480,000.

Graphisoft Park had total assets of €80,948,000 on June 30, 2009, up 11% from twelve months earlier. Liabilities jumped 31% to €58,375,000. The company noted that although it switched its functional currency to the euro from 2009, it is still exposed to exchange rate volatility on forint-based assets and liabilities. (MTI-Econews)