CHRISTCHURCH, New Zealand (Aug. 20) — Skellerup Holdings Ltd. recorded a 21-percent hike in sales for the year-ended June 30, aided largely by acquisitions, but saw operating income fall dramatically.
The company, which said earlier this year it plans to focus on rubber product manufacturing, had sales of $135 million. Operating profits slipped to $7.1 million compared with $22.3 million a year ago. This translated to a pretax loss of $3 million, but a tax windfall brought the company out of the red for a final result of $444,750.
Skellerup is divesting business related to its agricultural business, which in 2005 made up 42 percent of revenues. The company´s industrial activities now generate 70 percent of revenues, and this trend is expected to continue, the company said.
A year ago the company bought Gulf Rubber based in Sydney, Australia, which contributed strongly to the increase in sales. Skellerup also bought Italian automotive rubber goods company Tumedei last May.