Profits of the Warner Howard Group, suppliers of on-premises laundry machinery, hygiene services and waste handling equipment, took a dip, following the company’s investment drive last year.
WH showed a profit before tax of £3.851m for the six months ending 31 August 1997. This compared with £3.948 in the comparable period for the previous year.
Turnover for the period was down 5% at £13.110m, compared with 1996's figures.
Disappointing operating results for the first half of the year from some areas of the business were balanced by strong performance in other areas, according to chairman Mr Ronald Hooker.
“The main shortfalls have been in sales of laundry equipment and spare parts. This reflected the high levels of discounting throughout the sector and structural changes in the marketplace,” he commented.
Mr Hooker said he was pleased by WH’s more proactive approach to rental renewals in its hygiene division. He said the volumes and value of the renewals, plus the growth in first-time rentals was encouraging, and would create a solid base for the future.
