Tolley trades for loss

Press, 2 August 1979, Page 18

Tolley trades for loss

A drop in sales and sub- ; stantial inceases in expenses ,s caused Tolley Holdings, Ltd,: i to incur an unaudited group < net trading loss of $479,000 in the six months to May ■ < 31, compared with a profit |t of $220,992 previously. t However, capital profits of i i $247,000 from the disposal |t of assets and a movement in i deferred tax reserves of $260,000 reulted in a net I profit of $28,000. It

The company is geared essentially to electrical and industrial development the directors say. Private and government capital investment is continuing to fall and because of this much lower plateau of investment it is necessary to reduce the level of activity of the company. Measures are being taken to reduce the expenses in running the business.

In March a rationalisation took place in distribution resulting in redundancies and additional staff were made reShndant a week ago, the directors say. Sales fell 4.7 per cent to $10,116,000, but export sales rose 23.7 per cent to $1,643,384. However, the world markets in which Tolley works remain difficult, the directors say.