AEROSPACE and defence manufacturer Castle Precision Engineering is expecting "massive dividends" from its long-term projects despite slipping to a pre-tax loss.
In accounts filed at Companies House turnover was lifted by 11.5% from £12.8 million to £14.3m in the year to July 31, 2011, but pre-tax losses hit £188,246 compared to a £260,669 profit the previous year.
However a tax rebate of £202,580 meant the business made a bottom-line profit of £14,434 although that was well down on the £261,556 from 2010.
Staff numbers rose by one to 153 with employee costs including pensions up from £5.2m to £5.75m.
No dividend was awarded and the highest-paid director saw earnings drop from £226,275 to £157,838.
In notes to the accounts directors said: "Although it has taken longer than expected there are now very clear and positive signs the financial position is improving and our capital investments in long-term projects will pay massive dividends.
"The general market is now more fragile than at any time since the crash. However, certain sectors in which the company is heavily involved tend to be more resilient and should weather the current financial storm better than most.
"We look forward to consolidating our position in the New Year and potentially excellent 2012."
The business had been hit by delays to Boeing's Dreamliner passenger jet but that finally made its long-awaited debut in December and production is expected to increase in the coming years.
Castle, which makes components in its 90,000 square feet factory in Glasgow, was founded by Jack Tiefenbrun and is now run by his son Marcus.
Ivor Tiefenbrun, Jack's eldest child, spent time with Castle before founding hi-fi company Linn Products.
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereComments are closed on this article