Orphanides: Profit Warning for nine-month results 2007
21/11/2007 11:59
Pursuant to the CSE and SEC Regulations and in order to fully inform the shareholders and the investing public in general, the Board of Directors of Orphanides Public Company Limited announces that the results for the first nine months of 2007 are expected to be lower compared to the corresponding results of 2006.
This drop is attributable to a number of positive and negative factors. The factors are:
- Drop in the turnover. The refurbishment of the super markets in Larnaca, Paralimni and Zakaki affected negatively the Group’s sales. With the completion of the refurbishments, the super markets above will achieve a significant increase in sales.
- Increase in promotion and advertising cost to deal with the competition in the sector.
- Increase in finance cost as a result for the funding for the enforcement of the three-year strategic plan.
- Increase in gross profit, despite the drop in the turnover.
- Drop in administrative expenses, after the detailed and close observance of the expenses.
This drop is attributable to a number of positive and negative factors. The factors are:
- Drop in the turnover. The refurbishment of the super markets in Larnaca, Paralimni and Zakaki affected negatively the Group’s sales. With the completion of the refurbishments, the super markets above will achieve a significant increase in sales.
- Increase in promotion and advertising cost to deal with the competition in the sector.
- Increase in finance cost as a result for the funding for the enforcement of the three-year strategic plan.
- Increase in gross profit, despite the drop in the turnover.
- Drop in administrative expenses, after the detailed and close observance of the expenses.
