Chairman’s report 30th September 1994
The year to 30th September 1994, in financial terms, has been the most successful in the company’s history. Turnover rose by nearly 25 percent to £1.8 million and profit before tax increased to over £250,000.
The latter figure was arrived at after incurring exceptional costs of over £170,000 relating to the loss of the company’s broadcast licence. Details of these are set out in the accounts.
The trading performance was particularly credible and ironic in that it was achieved against the background of the decision, by the radio authority, to deprive the company of its broadcast licence for the Exeter and Torbay area.
Part of the improved performance was attributable to the economic recovery that this has not been strong in the southwest and most of the credit must go to the management and staff, whose loyalty and determination, in difficult circumstances, deserves the highest praise. I’m delighted that many of those who have worked so hard for DevonAir, have secured continuing employment in the area, either with our sister company, Plymouth Sound or our successors. They did not deserve to lose their livelihood in a manner in which it was threatened.
And also pleased to be able to report that, throughout the traumatic months since the authority’s decision was announced, morale has remained a high-level. This has ensured that output quality has not suffered and, indeed, both the audience statistics and the comments by many of our listeners have confirmed this.
After two good trading years, the company’s balance sheet has become quite strong. However, no decision has yet been taken as to the direction to be followed after we cease broadcasting on the 31st Dec 1994.
During 1993/1994, DevonAir continued to develop its service to communities in the franchise area. It is our hope that some of these initiatives will continue independently in the future. We have tried to give them every incentive to do so. Unfortunately, in view of the imminent closure, it was not possible to run the normally productive wheels appeal this November and this very successful charity, which has raised substantial funds for good causes in the region, is being wound up.
The listening public of Devon have been deprived of what, in recent times, it has shown to be its preferred station. This is a matter for much regret. We, as the company, are proud of the achievements of DevonAir and all the staff, past and present, who have been responsible for this. I would like to take this opportunity to express our thanks to them and, particularly, to Paul Angus and is management team, who have enabled me to report such spectacular results over the past two years.
KE Holmes