The future of the Strathfield consumer electronic group looks bleak with their share trading a 0.1 cents and losses tipped to be over $1M in 2011.
The company that in 2010 lost $900,000, is struggling up against JB Hi Fi, Harvey Norman and carriers selling the latest Smartphones. The car radio and mobile-phone Company is set to be de-listed from the ASX after diluting their shares to over 3 billion.
As of yesterday the Company was valued at $3.3 million dollars with little if any interest from parties interested in buying the struggling group. A Company executive said yesterday that “the board wishes to point out that no acquisition or merger opportunities have yet been identified or negotiated”.
The application to de-list Strathfield was buried towards the end of another “further company update” announcement at the end of a paragraph beginning, “On a positive note”.
One division that was making money, its equipment-leasing business is set to be closed down after the Companies financiers said that they could no longer support the operation.
The group said yesterday it expects to report a $2.12 million profit for the closed leasing division this financial year, which is less than it made in the first half. That could get worse if there are any asset write-downs or other adjustments before audited accounts emerge.
