Culver Holdings blamed major losses on softening commercial rates ...
Culver Holdings blamed major losses on softening commercial rates.
Rates were now between 5% and 15% lower than a year ago, said Culver, and had a dramatic effect on its losses.
The company announced a pre-tax loss of £131,000 in the six months to June up from £5,000 last year.Turnover was up at £1.75m from £1.72m in the previous year.
During the period the insurance broker incurred costs of £200,000 from setting up a new office in Reading after its acquisition of Aegis Financial Services.
The performance of Aegis has been below expectations but Culver said its strategy remained to increase its presence in the M4 corridor.
The first half also included development costs of £100,000 relating to Bizcover, Culver's online small business insurance offering.
But Culver said returns from this distribution channel was no excuse for high levels of expenditure and costs would be brought into line with revenues it has produced.
It will also review arrangements for placing businesses in order to limit costs and maximise profits.
This review is expected to be completed in the final quarter of 2004.
