Northamber lay-offs put it in the red
Back in profit at operating level, though
Northamber headed itself off from reporting a profit for the third quarter after it trimmed its workforce in the face of declining sales of volume products.
The veteran distie said in a trading statement yesterday it enjoyed an "encouraging" quarter but in typical Eeyore-ish style said it is too early to determine if "green shoots are assured".
The firm returned to operating profit in its third fiscal quarter, as it continued its effort to shift away from volume products and vendors. It said it had reduced its rate of revenue erosion, and third quarter revenues were only £609,000 lower than the previous quarter.
But the erosion of volume sales prompted it to cut logistics staff numbers, which came at a cost.
"But for the redundancy costs, the Company would have been profitable for the quarter at the pre-tax level," it said in the statement.
Overall, it said, "We remain cautious for the remainder of the current financial year albeit perhaps with a little more optimism than we observed several months ago." ®