Sealegs posts $723,000 first half loss

Amphibious boat-maker Sealegs today reported a net operating loss of $723,000 for the six months to September 30.

The result was down almost 800 percent on the $105,000 profit recorded for the same period a year earlier, while total operating revenue declined 25 percent to $1.3 million.

Sealegs' chief executive officer, David McKee Wright, said last year's September half profit included a one-off benefit from the sale of Sealegs' Deep Video Imaging (DVI) division, and the operating revenue figure included trading figures for DVI.

"We'd written DVI off in the years leading up to last year and then we were forced to recognise it as operational revenue because it was (no longer part of the business)," Mr McKee Wright said.

That aside, Sealegs did a busy trade in the first half, with trading revenue climbing 70.6 percent to $1.2 million.

"Sales into Australia and Europe have been encouraging and are continuing to grow," Mr McKee Wright said.

Sealegs moved into its new premises in Albany, on the outskirts of Auckland, yesterday, and expects to improve production efficiency and capacity from there.

Sealegs will be demonstrating its amphibious boats at the upcoming Big Boys Toys show in Auckland and the Wanganui A&P show on November 11-13. Planning is also underway to attend the Paris and London International boat shows later in December 2005 and January 2006.

Shares in Sealegs last traded down 2c at 18c, close to a year low of 17.1c touched in May.

- NZPA