Hirsch Servo sinks deeper into the red

Carinthian machine and packaging manufacturer Hirsch Servo AG reported today (Fri) that it had sunk deeper into the red in the first half of its 2009/2010 business year (1 July to 30 June).The firm said its losses had increased by 0.25 per cent year on year to 2.19 million Euros and its turnover had declined by 22.2 per cent to 39.2 million Euros.The firm added that its own-capital quota had fallen from 12.6 per cent at the end of June 2009 to 9.5 per cent at the end of December.Hirsch had 631 employees at the end of last year, 12 fewer than at the end of 2008.Hirsch said restructuring costs had been responsible for the increase in its losses and its focus this year would be on ensuring it had sufficient liquidity. It said its turnaround would come in the 2010/2011 business year.Hirsch Servo AG had reported last October that its earnings had plunged in its 2008/2009 business year.Hirsch said its earnings before interest and taxes had been minus 5.1 million Euros, compared to 0.5 million Euros in its 2007/2008 business year, and its after-tax earnings had been minus 10.7 million Euros, compared to minus 2.8 million Euros in its 2007/2008 business year.Turnover slumped to 86.2 million Euros from 100 million Euros in its 2007/2008 business year. The firm said it would not pay a dividend for either its 2008/2009 or 2009/2010 business year.