Wednesday, February 3, 2016

Asia Enterprises records FY15 net loss of $12.1 million due to inventory write-down

Asia Enterprises Holdings posted an FY15 net loss of $12.1 million compared to earnings of $2 million in FY14.

This was due mainly to an inventory write-down of $9.8 million on the back of declining steel prices.

Revenue for the period decreased 50% to $32.3 million.

The steel products distributor says it experienced tough business conditions in FY15 due to the protracted downturn in the global steel industry.

As a result, it witnessed a contraction in sales volume in line with lower steel requirements of its customers.

Notwithstanding the net loss, the board of directors is recommending a final dividend payment of 0.5 cents per share for FY15.

Moving forward, the group says competition within the steel distribution industry is expected to remain intense but it will capitalise on opportunities when the major steel consuming industries such as shipyards, start to experience a recovery.

Shares in Asia Enterprises ended flat at 19.5 cents on Tuesday.

Click Here To Register For Free Trial Services OR Give A Missed Call : +6531581402 Follow Us On Twitter : www.twitter.com/epicresearchsg Like Us On Facebook : www.facebook.com/EpicResearchSingapore Need Any Assistance Feel Free To Mail Us at : info@epicresearch.sg

0 comments:

Post a Comment