Slingsby sees pre-tax profits drop in “challenging” year

Slingsby, which is based in Baildon, near Bradford, West Yorkshire, said sales for the year to December 31, 2011, were £15.2m, compared to £16.7m in 2010, while pre-tax profits were £400,000, down from £1.1m the previous year.

The firm said there was “a marked slowdown in activity levels” in late April and May 2011 and the trading environment then remained subdued for the rest of the year.

The board recommended a final dividend of 28p, down from 35p.

John Waterhouse, non-executive chairman said in today’s statememt: “Activity during the first three months of 2012 has continued at a similar level to the second half of 2011 and therefore we have taken action after the year end to reduce overheads. “Whilst the board remains very cautious about the possibility of any upturn, we believe that the group’s positive cash position puts us in a good position to take advantage of opportunities as and when the economic climate improves.”

Net cash was £2.4m at December 31, 2011, compared to £3.4m the previous year.

The group said its pension deficit had increased to £8.7m from £6.7m, “driven primarily by lower bond yields increasing scheme liabilities and weaker equity market returns, reducing scheme assets in turn”.