Administrative expenses hit CareTech’s profits

Specialist care provider CareTech reported revenues of £123.3m in its preliminary results for the year ended 30 September 2014, an increase of 7.9% on the previous year’s £114.3m. After cost of sales of £76.7m (2013: £68.7m), and administrative expenses of £26.1m (2013: £12.7m) were deducted, CareTech reported an operating profit of £20.4m (2013: £32.9m). Taking into account financial expenses of £8m (2013: £4.8m), the provider made a pre-tax profit of £12.5m, significantly down on 2013’s £28.1m.