Annual profits and turnover are down at James Donaldson & Sons, but chief executive Neil Donaldson said the company “remained remarkably resistant to the recession”.
In the year to March, the Markinch, Fife-based timber distributor and engineered timber specialist saw profits fall 76% to £709,000 and sales 20% to £78m.
“At first glance, one might think this is a disappointing performance,” said Mr Donaldson. “But the past year has seen the most severe correction in the housing market and to have remained profitable through this downturn is a real achievement.”
He pointed out that the company had also significantly reduced borrowings, bringing gearing down from 34% to 19%.
Donaldsons believes the market has now bottomed out, but predicts conditions will remain tough into 2010.
“But we’ve adapted to deal with such a market and view the future with cautious optimism,” said Mr Donaldson.
