Construction IT provider Asite has yet to make a profit, two years after being floated on the alternative investment market.
The group, chaired by industry wise man Sir John Egan, posted a pre-tax loss of £800,000 for the six months to 30 June, less than half the £2.1m loss posted for the same period last year.

Egan claimed last October that the firm would move into the black by the end of 2003. In his statement this week he reiterated his hope that the firm would become profitable.

The statement said: "The directors remain confident that Asite will move ahead toward profitable trading and cash flows and that all necessary steps have been taken to ensure its future. I remain firmly of the belief that … the industry will continue to find ever greater value in our suite of products and services."

Egan attributed the continuing losses to product investment but said that would decrease during the first six months of the year. Turnover rose 25% to £1m.

The firm has recently brought out two software programmes, one to simplify tendering and the other to ease contractual relations between buyers and suppliers.

Egan's statement said: "Our reduced reliance on licensed third party intellectual property significantly decreases our cost of sales."

The firm also pointed to its work on the £3.2bn Heathrow airport Terminal 5 project, where it is connecting the supply chain for main contractor Laing O'Rourke and using its tender software for the tunnelling project, which is run by Morgan Sindall and Vinci.

  • Alastair Mellon, the former managing director of Asite, was confirmed last month as project director of housebuilder Berkeley.