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CFI: Interim Management Statement

15/05/2012 12:11
At the meeting held on Monday, May 14, 2012, the Board of Directors of Cyprus Forest Industries Public Ltd examined and approved the Interim Management Statement for the period from January 1 to May 11, 2012 pursuant to the provisions of the Transparency Requirements Law 2007. The Interim Management Statement has not been audited by external auditors.

Nature of activities

The main activity of the Group has not changed during the period and remains the investment in particleboards and MDF, the timber production and the sale of plywood.

Main events and transactions

The Group’s results for the period show losses of €710,000 compared to losses of €363,000 in the corresponding period of 2011.

The main reasons of the negative results are as follows:

i) The drop in the turnover by 26% due to the economic recession in the construction industry, which affects negatively the demand of timber in the domestic market.

ii) The increased competition from imported goods.

iii) The increased finance cost.

It is noted that during the period, there were losses of €77,050 from the revaluation and sale of financial assets available for sale.

During the period from May 1 to May 13, 2012 there were additional losses of €421,000 due to the redundancy of eleven employees.

There were no other revenues, profits or losses from non-recurrent activities and/or activities that do not fall under the main activities of the Group during the period.


The Board of Directors believes that the prospects for 2012 will be negative due to the recession in the construction industry and the economy in general.

The Group will release an analytical statement in its six-month results 2012.