ENTREPRENEUR Gio Benedetti is closing in on a contract that could be worth a few million pounds to provide first-aid kits to a car manufacturer in Saudi Arabia.
Mr Benedetti revealed the negotiations as accounts at Companies House show Benedetti International narrowed pre-tax losses from £186,000 to £25,000 after posting a £500,000 sales rise in 2011.
The Wishaw company, which owns hygiene and first aid device supplier Wallace Cameron, saw turnover increase 4% from £12.25 million to £12.75m.
Growth in European sales from £1.1m to £1.71m helped to offset a decline in UK performance from £11.15m to £11.04m.
Operating profit increased from £46,000 to £333,000 but that figure was eaten up by amortisation of goodwill at £168,000, an exceptional charge of £67,000 and interest and financing bills of £123,000.
Mr Benedetti told The Herald he was hopeful on the prospects of the order for first-aid kits being taken up. The 69-year-old said: "We designed a whole new motoring health kit and it may potentially become law in Saudi to have these.
"We are in negotiations with one of the major motor manufacturers. It would certainly be worth a few million so we are hoping to know something in the next few weeks."
Mr Benedetti is also working on a deal in the Middle East in the health sector while projects with the NHS – one for a product to help locate the veins of chemotherapy patients more easily and another for a new type of plaster – are coming closer to fruition.
He said: "We think the vein product has worldwide potential. We are working with the NHS and have spent two-and-a-half years developing a product we hope to launch in January.
The plasters are just rolling off the production line now and we are going to do clinical trials."
Average employee numbers dropped from 149 to 143 with administration staff more than halving from 33 to 16, although there were increases in production and distribution workers.
Staff costs declined from £3.4m to £3.08m with directors' remuneration dropping from £170,000 to £117,000.
The company's loan interest increased from £64,000 to £111,000 after it took a new £1m lending facility. Net debt was cut from £4.8m to £3.8m.
Mr Benedetti said: "We are always trying to get more efficient. It is going pretty well but it is still trying times."
He expects to soon see Benedetti International back in profit as investment costs of new products begin to ease and devices start to sell around the globe.
Wallace Cameron's products include the Actiflo Exerciser – a rubber ball – which is said to reduce the risk of deep vein thrombosis.
He added: "We have several of these products which have worldwide potential and I think by [2013] we should see a much better year."
Mr Benedetti has become one of Scotland's most successful entrepreneurs since arriving here from his birthplace in Tuscany, Italy, at the age of nine.
He made around £15m when he sold dry cleaning business Industrial Clothing Services more than 20 years ago. Five years ago he sold innovative cling film dispenser company Wrap Film Systems for £21m in a management buyout in which he retained a stake.
His daughters are renowned violinists. Nicola, a classical soloist, and Stephanie, part of the Raven Quartet.
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