17 Jun 2008 12:42
Tex Holdings plc
Annual General Meeting -Ā Tuesday 17th June 2008
Chairman's Update on TradingĀ at AGM
The Group has had a satisfactory start to the year, with trading as previously announced in line with expectations.
The PlasticsĀ DivisionĀ initiativesĀ are underway to return the division to an acceptable profit in light of the current economic climate.
The EngineeringĀ DivisionĀ has opened the year strongly, and with a strong order book this is expected to continue for the balance of the year.
In addition an old debt previously written off in the books has been successfully recovered and this has further contributed to the EngineeringĀ Division'sĀ performance.
At the end of May the Group acquired the trade and assets of Springwood Engineering a manufacturer of white lining equipment. This will be added to the portfolio of road surfacing equipment manufactured by Tex Engineering Limited.Ā
As previously announced, a key customer announced it will be reducing its reliance on QK Honeycomb Products. QK has been successful in retaining two thirds of this business.Ā Ā The strategies put in place to replace the lost work continue.
With the Group order book currently in excess of Ā£10,000,000Ā and, subject to the current economic conditions and the impact of rising power and material costs, performance is expected to continue in line with expectations.
A.R.B. Burrows
Chairman
17th June 2008
TXH.L (TXH)