C.T.O.: Profit Warning for final results 2010
25/2/2011 8:34
In order to fully inform the shareholders and the investing public, C.T.O. Public Company Ltd announces that the results for the year ended December 31, 2010 are expected to be lower than those of the corresponding period of 2009.
This drop is attributable to the increase in the production cost due to the difference in the exchange rate €/$ and the drop in exports due to the economic crisis and the exchange rate €/$. Also, the Company focused on the effort to acquire a stake in the domestic market. As a result, the margin of profit dropped in relation to this purchase.
A significant factor for the reduction of the profitability is that the sector of paper goods has reduced significantly the margin of profit of the Group due to the strong competition and, therefore, we have proceeded with the reorganization of our activities with redundancies in our staff and a cooperation with an independent company in the paper production from 9/2010. The results have improved in 2011.
This drop is attributable to the increase in the production cost due to the difference in the exchange rate €/$ and the drop in exports due to the economic crisis and the exchange rate €/$. Also, the Company focused on the effort to acquire a stake in the domestic market. As a result, the margin of profit dropped in relation to this purchase.
A significant factor for the reduction of the profitability is that the sector of paper goods has reduced significantly the margin of profit of the Group due to the strong competition and, therefore, we have proceeded with the reorganization of our activities with redundancies in our staff and a cooperation with an independent company in the paper production from 9/2010. The results have improved in 2011.
