Internet publisher Ingenta saw its shares tumble after its profits were dented by changes to its accounting practices. The company, which recently moved its headquarters to Oxford, has changed the way it recognises the revenue from long-term deals with publishers so that it is split equally across each year.
Finance director David Callcott left in September and was replaced by William Finlay, who has changed the accounting methods.
The new policy reduced turnover for the year to September 30 by £3.7m to £9.3m, compared with £9.9m in 2001.
Revenue of £1.2m from a deal with Gale Group, previously included in turnover for the first six months, will now be recognised over the next five years.
Losses were cut to £4.6m, compared with £11m last year.
The company has written off £19.4m, and spent £4.7m in redundancy and restructuring costs in September. Shares dropped 11p to 18p.
Chairman Martyn Rose said: "The changes in accounting practice introduced by the new team should not distract attention from the progress that the group has made.
"The board is therefore confident that a further substantial improvement in earnings can be achieved in the current year."
The company, which distributes academic research online, said the move of its head office from Bath to Oxford, and 30 redundancies, would save £3m a year.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article