Tooling group returns to profit after heavy loss
Galway manufacturing group C&F Tooling returned to profitability in 2014 after plunging into the red in 2013 with pre-tax losses of €12.28m.
New accounts filed by C&F Tooling and subsidiaries for 2013 show that the group recorded the 2013 loss after revenues fell by 17pc to €114.5m.
The group had made a pre-tax profit of €4.5m in 2012.
Numbers employed totalled 1,343 in 2013. The group has its headquarters in a purpose-built 180,000sq.ft facility in Athenry and has manufacturing companies in the US, the UK, Germany, the Czech Republic, China and the Philippines.
However, in a downbeat report for 2013, the directors state that the group "endured a difficult financial year in 2013, with trading losses of €10.36m that followed a profit of €4.4m in 2012".
The directors say a review of the group's performance was carried out and identified a number of contributory factors to the losses.
These included operational issues and delays in roll-out of new projects, excessive material, labour and logistics costs and delays in the working cash cycle that resulted in operational cash-flow problems.
However, the directors say that since the year end costs have been reduced on a revised business model and the group has returned to profitability in 2014.
Staff costs rose from €32.5m to €40.7m in 2013. The directors said: "The group balance sheet remains very solid and will continue to strengthen."
Shareholder funds at the end of 2013 totalled €32.9m.