Weak demand hit earnings at industrial supplies group Unidare plc which yesterday reported a 40 per cent fall in full- year profits.
The Dublin and London-listed company yesterday reported a 20 per cent fall in turnover in the year to September 30th to €203.7 million from €246.4 million in 2002.
The company blamed currency translation for €0.7 million of the decline.
Profit before tax dropped by 40 per cent to €4.4 million from €7.3 million last year. Basic earnings per share (eps) fell 20 per cent during the same period to 12.02 cent from 15.07 cent. Adjusted eps was 19.69 cent, a fall of almost 30 per cent on the 2002 figure of 28.36 cent.
The board yesterday said that it would not recommend the payment of a dividend because of ongoing uncertainty in its markets.
In a statement, the group said that operating costs in its North American industrial and exploration equipment distribution business, ORS Nasco, actually increased as a proportion of sales, because average order size declined.
Net debt increased to €22.3 million from €17.3 million. Shareholders' funds dropped to €53.3 million from €58 million. Unidare's cash balances also dropped sharply to €1.7 million from €7 million.
Unidare invested €12 million in its facilities during the year. Its new Daalderop heating manufacturing plant in the Netherlands accounted for €9 million of that spend.
