SINGAPORE (Aug 8): Broadway Industrial Group, the precision components and form plastics producer, made a loss of $477,000 in 2Q17 compared to earnings of $215,000 in 2Q16.
Group revenue fell 16.7% to $79.0 million in 2Q17 from $94.9 million in 2Q16 to $79.0 million mainly due to a decrease in revenue from its remaining Components Business.
As a result of the group’s ongoing cost-cutting initiatives including rightsizing and process streaming, 2Q17 gross profit margin increased to 6.8% from 2.0% last year.
Net finance costs decreased 88.3% to $168,000 in 2Q17 from $1.4 million in 2Q16.
Due to redundancy costs of $800,000, other expenses for the group amounted to $873,000 in 2Q17, more than double that of $387,000 in the previous year.
Looking ahead, management expects the next half year to be challenging.
Shares in Broadway Industrial last traded at 13 cents on Tuesday.
