The Irish subsidiary of Declan Ganley’s communications technology firm reduced its accumulated losses last year by just under €87,000, according to accounts just filed here.
Documents filed with the Companies Office show that Galway-based Rivada Networks Ltd had reduced its accumulated losses to €855,848 by the end of 2015 compared with €942,818 a year earlier – indicating that it made a profit in the 12-month period.
Mr Ganley (47), a Galway-based businessman and political activist, established the company in 2005. It is a subsidiary of Rivada Networks International LLC, based in Virginia, USA.
It emerged last week that Rivada had appointed former American presidential hopefuls Jeb Bush and Martin O'Malley to its board of directors in the US.
US wireless
The appointments come as the company is preparing to unveil its bid for the US’s first nationwide wireless broadband network dedicated to public safety.
Mr Ganley said Mr Bush and Mr O’Malley would provide “strategic counsel and guidance”, as well as offer “unique insights into the challenges and needs” of America’s state governments.
The Irish company’s payroll costs amounted to €987,426 for its nine staff (six administrators and three managers) during the year. This was up from €715,189 for its seven staff in 2014.
Directors’ remuneration rose by 20 per cent to €318,422.
Loans of €150,992 were repaid to Mr Ganley during 2015 to leave him with a zero balance at the year’s end.
Book value
The accounts, which were approved on April 19th, show that the company had a net book value of just €19,009 at the year end.
Its cash balance increased last year, rising to €108,409 from €60,645 at the end of 2014.
A going concern note attached to the accounts states that the directors have a “reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future”.
The directors are listed as Mr Ganley and Ken Fields, who is based in New York. Mr Ganley is listed as owning 25.57 per cent of its parent company, while Mr Fields held 8.42 per cent.
Rivada Networks Ltd had total borrowings at the end of 2015 of €901,493, of which €858,881 was due for repayment in 2017.
Mr Ganley’s first entrepreneurial successes included timber export and the privatisation of sawmills and forestry assets in Latvia and Russia in the late 1990s.
These were later sold to a group led by business magnate George Soros.
