19th Feb 2015 13:04
LONDON (Alliance News) - Coral Products PLC Thursday said it now expects to incur a loss of about GBP200,000 on the administration of major customer Video Duplicating Company Ltd.
Coral had initially provisioned GBP500,000 in early January before revising that to GBP300,000 in the first week of February.
Coral also said that management changes implemented late last year are already showing positive results, adding that the group has traded positively in each of the three months to the end of January.
"Group profit for the year to date is only marginally behind budget before taking account of exceptional costs being the VDC bad debt and compensation payments for loss of office," Coral said.
The company said it will pay the proposed 0.2 pence per share interim dividend.
"Whilst the board is aware that much remains to be done, we believe that the robust performance of the group during the past difficult quarter supports our confidence in our strategy and our belief in the prospects for further growth," Chairman Joe Grimmond said in a statement.
Coral shares were up 11% at 10.938 pence on Thursday.
By Samuel Agini; [email protected]; @samuelagini
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