The Courier & Advertiser (Perth and Perthshire Edition)
Exchange rate blow for major Angus employer
INTERPLEX PMP: Arbroath-basee consooeots firn recoreee a loss last year
Major Arbroath employer Interplex PMP recorded a loss last year as it sold its English tool-making division and took a major currency exchange hit.
The Angus firm manufactures parts for the automotive, telecoms and medical sectors from its base at Elliot Industrial Estate.
For the year ending June 30, the firm’s sales dropped to £13.7 million from £14.7m the previous year.
The company posted a pre-tax loss of £55,875 compared to a £20,222 loss in 2016.
During the financial year, in October 2016, the company decided to dispose of its tool-making division located in High Wycombe in order to refocus on the company’s core principal activities.
It also invested £880,000 in new plant and machinery, including a new software system to deliver operational efficiencies.
In her strategic report in the accounts, director Jocelin Swee Har Soon said the she was satisfied with the overall performance in a “period of difficult trading conditions.”
She said: “The strategic exit from the direct tooling sales market largely explains the reported fall in turnover during the year.
“Our exports into the EU and intercompany loans, which are denominated in euros, were affected by the rate of Sterling against the Euro during the year, creating recognised exchange rate losses of £392,799, compared to losses in 2016 of £198,204.
“This is a significant factor within our income statement this year and we are taking steps to mitigate our exchange rate exposure.”
During the year the firm employed an average of 155 people – 124 manufacturing staff and 31 office and admin workers.
In May the company was recognised with a Queen’s Award for Enterprise in the category of international trade.
Ms Swee Har Soon added: “The company maintained its excellent reputation for service levels and quality in the market and continues to develop alliances with existing and new customers who recognise the unique advantages of our company and people.”
She added: “The directors are optimistic about our prospects for the year ahead.”