Elders $395m Loss: Future Improvements

Adelaide-based rural services and automotive group Elders (ELD) is still keeping a positive outlook after declaring a $395.4 million annual loss for the year to September 2011.

From the company's $217.6 million loss during the previous period to this year's bigger loss, Elders forestry assets are now being sold off after contributing $335.4m of this year's deficit. $64.6m of the deficit came from other non-recurring items and discontinued operations.

Despite the huge loss, Managing Director Malcolm Jackman sees further improvement in the future now that there has been a turnaround in Elders' rural services network and the Futuris automotive interior design business.

“After a difficult start to the year, seasonal conditions have been positive and we are starting to see the benefits of the investment made in business transformation over the past three years as the business has clearly turned around,” Jackman said.

Jackman added that despite seasonal and market conditions, the rural services is going to face the new financial year with momentum and the automotive sales are expected to expand with the new long-term contracts.

Final dividends will not be distributed to investors for this year.