Cable manufacturer Cafca says its revenue for the full-year to September dropped by nearly 40 percent to $18.1 million from $29.3 million last year.
Operating profit slumped to $757 196 compared to $2.4 million last year while profit before tax dropped to $678 028 from $2.4 million.
The company scaled down operations by a third, from 300 tonnes to 200 tonnes monthly production, dropping costs from $700 000 to $500 000 per month.
“The reduction in working capacity resulted in a turnaround in borrowings from a net borrowed position of $680 523 to a net positive bank balance of $1 473 583,” said Cafca secretary, Caroline Kangara in a statement accompanying the results.
Turnover dropped from $29.3 million to $18.1 million after the company stopped exports to South Africa.
Apart from supplying the local market, the company exports to Mozambique and Zambia.
The company did not declare a dividend citing the need to keep cash reserves.- The Source
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