Software development and consulting group Sausage Software has suffered a similar financial fate to many of its peers, posting a record loss on the back of record revenues.
Sausage sourced revenues in excess of $76.3 million for the second half of 2000, up from just over $17 million in the previous period. But these revenues could not match the group's expenses, the company posting a net loss of over $211.3 million.
In a statement released to the Australian Stock Exchange, director Lloyd Roberts attempted to calm investor fears of a company growing out of control. The recently revised management team has been doing some revision of its own, rationalising the business by the closing of non-performing business units and the sale of non-performing assets acquired the previous financial year.
As well as the abundance of over-valued acquisitions, which Roberts claim were not sufficiently integrated into the company as a whole, the blame was also placed on the Olympics, the introduction of the GST and a general downturn in the economy.
Despite the loss, Roberts is confident the company can turn their fortunes around in the next two quarters.