Radar revenue dips 18%

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RADAR Holdings Limited’s revenue dipped by 18% to $3,7 million in the half-year ended December 2014 on the back of a 13% decline in sales volume and softening prices at Macdonald Bricks.

OWN CORRESPONDENT

In a statement accompanying the group’s financial results released last week, the group noted that the operating environment remained constrained by poor funding of infrastructural projects, declining aggregate demand and liquidity challenges, among other problems.

The group’s operating profit slipped to $290 132 from $792 494 recorded in the same period in 2013. It recorded loss before tax of $202 803 due to an increase in finance costs of $492 948.

Production at Macdonald Bricks was 2% above the same period in 2013. The group said production would have been higher had operations at the Willsgrove plant not been deliberately scaled down in the second quarter due to reduced demand and both plants continued to experience power outages.

“Sales volume was down 13% compared to same period prior year,” the group said.

“Demand remained subdued as all major projects continued to receive erratic funding. Brick sales were mainly driven by private developers which accounted for 75% of the volume.”

Overheads came down by 21% as a result of cost containment strategies implemented during the period under review.

Its total equity and liabilities remained subdued by $21,5 million from $22,1 million in 2013.

The group is considering disposing of certain investment properties in order to reduce debt and could not declare any interim dividend as a result of that.