Ogelsby warns of tough trading conditions

Tool maker Oglesby & Butler saw its revenue rise 5 per cent for the quarter ended June 2008, but said tough trading conditions…

Tool maker Oglesby & Butler saw its revenue rise 5 per cent for the quarter ended June 2008, but said tough trading conditions lay ahead.

The company, which manufactures Portasol gas-powered soldering iron and glue gun products, warned that weakening consumer demand and currency related issues had adversely affected its revenues, and said the adverse trading conditions would likely continue and impact on the company’s performance.

"In line with other Irish export driven companies our revenues continue to be adversely affected by the worsening world wide down turn in consumer demand and the weakness of both the US dollar and the pound sterling," the firm said in a statement.

"Costs are being controlled and every effort is being made to maintain existing markets and to introduce new products into new markets."

The group said it had a greed the second phase of a research contract for a major international company, which was expected to make a positive contribution to results when it was completed next year. Ogelsby has also begun promoting a herbal vaporiser, but said it was too early to determine what impact it would have on revenues.