Concrete products group Readymix has reported pre-tax tax losses of €47.3m for 2008 - in line with expectations.
The loss compares to a profits figure of almost €28m for the previous year and Readymix said that trading conditions in its markets had been adversely affected by the deepening recession both in Ireland and worldwide.
Revenues fell from €170m to €133m year as total construction output for Ireland was down 20% in 2008 compared to the previous year. Readymix said that an increase in costs, mainly as a result of high fuel prices, and flat selling prices further hit its operating profits.
The company said it has reduced its workforce by 52% since the start of 2007 and 18% of its operating sites have been closed. In December, it announced a further cost cutting programme which will result in savings of €15m.
Readymix also said that its non-executive board members are taking a 25% cut in their fees, while the company's senior management are having their salaries cut by 10%.
Readymix said it expects the adverse trading conditions to continue during 2009. 'This will mean that despite the significant reductions in costs that have been and will continue to be delivered, operating losses will continue, albeit at a substantially reduced rate, commented Readymix Chairman Adrian Auer.
'Given the very difficult trading conditions and the poor financial results for the year, the board will be recommending that no final dividend should be declared for 2008,' he added.
Shares in Readymix jumped 27% to close at 14 cent in Dublin this evening - up three cent.
