Cashbox cuts losses to £1.6m

Cashbox, which operates 1,800 automated teller machines (ATM) in pubs and other retail outlets, said it reduced first half operating losses by 10 per cent to £1.4m, and total losses by one per cent to £1.6m.

The group, which recently settled a long-running legal battle with rival ATM business Hanco and agreed a refinancing with its banks, said turnover in the six months to December 31, 2007 had risen 6.3 per cent to £2.3m.

Gross profits rose 39 per cent, to £816,000, with total losses one per cent lower than the same time in 2006 at £1.6m.

Cashbox said it had settled the Hanco litigation case to the tune of £2m since it was "no longer in the best interests of shareholders to continue".

New chairman Robin Saunders told investors: "Although this has been a difficult period in your company's history there is much to give encouragement.

"The new executive management team has worked hard to rid Cashbox of distractions to its core business; including the necessary settlement of the Hanco litigation."

Last year the group fired Carl Thomas, Cashbox's chief executive and founder, after he had been suspended following concerns over a number of share dealings in the company he had undertaken.

The share dealings were made around the time the group had announced it was the subject of bid interest.

Thomas was dismissed as chief executive, director and employee of Cashbox "without notice" after a full disciplinary process had been completed, the group said at the time.

At the same time Cashbox and Thomas were ordered by a judge to pay significant costs to Thomas' former employer, Hanco.

The order was the culmination of a long-running dispute between the two firms over allegations of client poaching by Thomas.

Cashbox's shares were today unchanged at 7.5p.