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Caxton: Profit becoming difficult

Feb 18 2009 18:41

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Johannesburg - Trading profitably under current circumstances is becoming more and more difficult, Caxton and CTP Publishers and Printers said on Wednesday.

It said its turnover marginally increased from R2 142m to R2 164m for the six months that ended December 31 last year.

Profit from operating activities was down from R446.2m to R348.4m and depreciation was almost unchanged at R79.5m.

Net finance income fell from R75m to R56.4m.

"Associated companies, operating in almost identical businesses to that of the company, also witnessed difficult trading conditions," the group said.

"Lower revenues and profits were experienced which resulted in income from associates decreasing from R13m to R11.2m."

Profit before taxation amounted to R337m.

After providing for taxation at an effective rate of 26%, profit shrunk to R247.9m - compared to R324m in the six months ended December 31 2007.

"This period has undoubtedly been one of the most difficult in many years," the group said.

"Consumer spending patterns determine the level of activity of advertisers and spending in most areas, particularly the property and motoring segments of the economy, has fallen drastically."

- Sapa

 
 
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