Cosalt suffers fall in profits

MARINE safety group Cosalt posted a 24 per cent decline in full-year adjusted pre-tax profit and said it would not pay a final dividend.

By The Newsroom

Published 2nd Feb 2010, 08:25 BST

Updated 2nd Feb 2010, 08:25 BST

The economic environment continued to be challenging as clients delayed investment decisions, but contract wins and renewals would help improve trading in the second half, the company said.

Grimsby-based Cosalt, which makes life jackets, said it planned to take further cost cuts and annualised cost savings of 3m had already been implemented.

For the year ended November 1, the company posted an adjusted pre-tax profit of 5.5m from continuing operations, compared with 7.2m a year ago.

Revenue from continuing operations rose 2.8 per cent to 107.8m.

Cosalt, which exited its schoolwear and holiday homes businesses, said it would focus on providing safety equipment and services for the offshore and marine industries.

Net debt fell 31 per cent to 18.6m.

Shares of the company closed at 9.88 pence on Monday on the London Stock Exchange.

Grimsby