19.08.2019

Snorkel comeback continues

Aerial lift manufacturer Snorkel has reported further progress in terms of first half sales and profitability. Total revenues for the six months to the end of June were almost 17 percent higher at $112.4 million, while last year’s pre-tax loss of $704,000 was reduced to $525,000.

Looking at the second quarter, sales were almost 18 percent higher at $60.8 million, while profits were more than 75 percent higher at $1.05 million. This in spite of higher sales and admin costs, and a significant rise in depreciation and non operating costs.

The information was included in an update from previous owner Tanfield, which retains a 40 percent stake and continues to pursue funds from Tanfield for its holding.

Vertikal Comment

This is a positive set of numbers from Snorkel which puts it on target to achieve full years revenues of more than $230 million, and possibly its first year in profit since the company was rescued by Don Ahern.

Tanfield continues to seek a pay out from Ahern, who, perhaps understandably is refusing. It all comes down to interpretation of the deal, which on the surface does appear to confirm Aherns view. The big question of course is what happens next?

Regardless of that this is clearly a very positive result.