Phoenix Consolidated Industries two new units, Precision Grinders and McMeekan, contributed $1,5 million to the groups turnover of $11,58 million for the year ended October 31 2011.
The two units were acquired from Apex in 2011. The group recorded a retained profit of $148 000 after depreciation, finance costs and taxation while the trading profit was up to $904 000 compared to $680 000 the previous year.
Fixed assets for the group were at $6,5 million while current assets exceeded current liabilities by $1,5 million.
The group recorded an increase in turnover of $3,5 million for the period under review to $11,58 million compared to $8 million during the same period last year.
McMeekan and Precision Grinders were purchased to take advantage of their alignment to the agriculture and mining industries which are expected to experience significant growth going forward, said group chairman Michael Frudd in a statement accompanying the groups financial results.
Current forecasts indicate that these improvements will result in a return to profitability in the coming year.
Borrowings for the group were expected to remain at the same level.
The groups plastic and allied operations, incorporating William Smith & Gourock and Phoenix Brushware, registered increased volumes by 20%, but increased costs and competitive pricing resulted in profitability.
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The operations were affected by market-related pricing on PVC products.
