Kresta makes $2m loss but revenue up

Malaga-based curtains and blinds company Kresta Holdings has announced a half-yearly after-tax loss of $1.98 million for the six months to June 30.

The loss was 2.1 per cent higher than the $1.94 million loss Kresta recorded in the first half of the year 2014.

Comparing the company’s figures for the same two periods, revenue was up 3.7 per cent this year at $47 million.

The company said its operating cash outflow of $3.28 million was mostly funded through an unsecured loan from Ningbo Xianfeng New Material, Kresta’s Chinese parent company.

Kresta ended the period with an $83,000 overdraft.

The company said its earnings were largely influenced by costs and inefficiencies associated with the establishment of a new manufacturing facility in Brisbane, and by a showroom refurbishment plan.

The refurbishments and the new facility’s equipment combined for a total investment outflow during the period of $1.46 million.

Also highlighted was the $450,000 writeoff of costs associated with the aborted acquisition of Franklyn Blinds Awnings Security.