Tandem Group Share News (TND)

Sports and leisure equipment firm Tandem said revenue for the year ended 31 January fell 3% while pre-tax profit increased.The group incurred a number of cost pressures such as increases in freight and raw materials prices as well as shipping line disruptions and Far East labour shortages.Revenue for the year reduced to £34.6m from £35.7m the previous year. Pre-tax profit for the period increased to £1.1m from £1m last year.For the six months to 31 January 2011 turnover from a bicycle promotional contract with a national retailer was over £2m lower than last year, Tandem explained. As a result, revenue for the year declined. "The inclement weather and weak consumer demand also had an adverse effect on trading with many of our customers reporting lower footfall and higher stock holdings than usual," the company said.Tandem added, "The impact of the current economic climate is uncertain. After a positive start to the calendar year in January and February 2011, revenue in March and April has fallen behind the previous year.""National retailers have delayed and in some cases cancelled orders in an attempt to reduce their stock holdings in line with declining retail footfall and weak consumer demand demonstrating how important new products and brand development is to the business," it added. Tandem is offering a final dividend of 2p giving a total dividend of 3p for the year compared to no dividend the previous year. ---CJ