Cellnet forecasts $1M loss

ASX-listed dsitrbutor, Cellnet makes a profit from the demerger of its mobile arm and warehouse sale. However forecasts $1 million in operations loss.

In its continuous disclosure announcement to the ASX, Cellnet anticipates a net loss of around $1 million from its operations, this compares to an operating profit in the prior year of $1.6 million.

However the distributor anticipates reporting a net profit of around $7.5 million for the year ending 30 June 2007 compared to a net profit $1.6 million for the corresponding prior period.

According to Cellnet the net profit of $7.5 million comes partly from its demerger of its of Mercury Mobility Limited arm, which totaled $6.5 million, a profit on sale of warehouse and office premises in Auckland during December 2006, which generated $2 million dollars.

Although this profit was offset by a net operations loss of $1 million for the year and according to the announcement the profit is preliminary and is subject to audit.

There is also no word on how the split between Apple and Cellnet will affect the distributor, which was reported in other media outlets this week; or the cut by printer vendor Kyocera in early April.