Zimplow revenue declines

units. But exports grew by 87 percent to 10 730 units compared with last year, on the back of strong demand, despite the drought that hit Southern Africa.
The sales split was 72 percent from domestic sales, down from 83 percent, while exports grew from 17 percent to 28 percent. An EBITDA loss of US$133 122 was recorded, down from US$ 677 095 the prior period.
Net loss was US$175 686.
The balance sheet shows borrowings of US$3,8 million relating to the purchase of a 57,2 percent stake in TPH, which has since been concluded.
A part of the rights issue proceeds of US$11,2 million was used to clear borrowings related to the new acquisition. Inventories were high at US$9 million, constituting 74 percent of current assets as the group was stocking up for its busier second half.
Generally, about two thirds of the company’s business is generated during the second half of the year.
Apart from Mealie Brand, whose revenue was adversely affected by the ongoing liquidity crisis, CT Bolts recorded a drop in overall sales units, although there was a 6 percent increase in revenue due to a change in the sales mix. Afritrac operations were profitable as implements sales volumes went up by 15 percent.
Spares went up by 38 percent. In a trading update, management reported that group revenue for July 2012 was 8 percent below the previous year’s figure,  and 12 percent below the year to date budget.
The local demand declined by 26 percent, with local implement sales and spares amounting to 11 119 units and 96 214 units against 21 202 units and 127 546 units for prior year.
A high growth rate of 69 percent was recorded in exports against export implement sales units of 21 931 units, up 129 percent from prior period.
CT Bolts and Tassburg volumes were, however, lower. The group returned to profitability, recording a profit before tax of US$65 417 for July.
Due to TPH being in a closed period, the group did not disclose much in terms of performance.