Focus during the quarter has been on both driving sales and reviewing inventory levels. High sales during the last three months have decreased inventory levels to just below $3 million at cost. However, management have been active in the market to secure supply arrangements for the first quarter of 2008 to counteract the expected supply issues that the industry will face in July and August The last quarter of financial year 2007 / 08 shows some pleasing results for Solco Ltd from a cashflow perspective. Solco recorded strong cash receipts for the quarter of just over $5.5M, last quarter $3.7M. Total cash receipts for the year were $16.2M, an increase on last year of $5.6M (2007 $10.6M). Solco also recorded positive operating cash for the quarter of $2.5M as a result of decisions earlier in the year to increase inventory levels, which have now translated into sales, cash and bottom line performance. Debtors remain at $2M, whilst creditors increased by $600K to $2.9M as we see working capital now being applied to re-building stock levels. Cash at bank as at 30 June 2008 was $3.48M. The Board has forecast a modest maiden operating profit for the financial year ended 30 June 2008. To listen to an audio broadcast on Boardroomradio.com with Mr Alex Lamond, CEO, where he talks to Solco’s performance for the 2008 financial year, simply click on the link below: http://www.brr.com.au/event/47480 For further information contact: Alex Lamond Adam Wright CEO Company Secretary Solco Limited Solco Limited
green Future and green Course by SOLCO
GOE Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
