It has recently been reported that Appello have lost several Firstport contracts to Oneview. This company have traded successfully for many years and appear to have made a concience decision to expand their operations at the expense of margins.
About Peverel believe that invoices due to be paid by Firstport have been "factored" so that the bank payout on invoices being presented, rather than Oneview having to wait for Firstport to pay.
Appello, Appello Telehealth and their parent Cirrus Communications Systems have had a torrid time of it in recent years(even if their price fixing fraud is taken out of the equation)
Looking at their last published accounts sheds light on the grim financial position they are in.
Appello Ltd recorded a trading loss of £4,250,624. They claim to have assets amounting to £6,310,000. Unfortunately their debts are put at a staggering £12,380,000! That gives Appelo Ltd a net negative valuation of £-6,070,000. A debt to value ratio of 196%.
Appello Teleheath claim to have assets of £12,000. Their liabilities are put at £1,990,000. This gives Appello Telehealth a negative net worth of £-1,978,000 This is an astonishing debt to value ratio of 16,550%
The parent company Cirrus Communications Systems managed to turn a profit of £304,572 into a loss of £1,699,124.
They claim assets of £8,230,000 and liabilities of £9,470,000, giving a net value of £1,240,000. This represents a debt to value ratio of 86.9%(an increase of over 15% in just one trading year)
These figures are totally unsustainable. No company can continue to trade under these circumstances without financial support.
Knight Square(parent of Firstport) no longer have the financial muscle to sustain Appello trading.
They will be forced to liquidate Appello in order to save the rest of the group.
This is what is behind Firstport's decision to offer Appello contracts out to tender.
Most assuredly it is not in order to give best value to "customers"as they would have residents believe?
