19th Sep 2024 12:42
(Alliance News) - Tandem Group PLC on Thursday posted improved first half results, but bemoaned the impact of a challenging trading environment, driven in part by an increase in freight rates.
For the six months ended June 30, the Birmingham, England-based sports and leisure product retailer reported a pretax loss of GBP606,000, narrowed from GBP1.1 million a year prior.
Revenue improved marginally to GBP9.79 million from GBP9.75 million the previous year.
"This year, rising freight costs, container shortages and longer shipping times have continued to pose challenges. This situation has been further exacerbated by retailers delaying shipments as a direct result of escalating freight costs and container shortages," said Chair Steve Grant.
"However, it is encouraging to note that shipping rates are now showing a slight reduction, and we remain cautiously optimistic about achieving stability in Q4, following a period of exceptionally high cost inflation."
Tandem added that, due to the group's performance in the first half of the year and the expected position for the full year, it is not proposing to pay an interim dividend.
The firm said it would continue to review its dividend strategy, and would pay a dividend where profits permit.
Shares in Tandem Group were flat at 164.00 pence each in London on Thursday afternoon.
By Holly Beveridge, Alliance News senior reporter
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