In the year to 31 December 2003 the companys turnover fell 13% to 46.8m, due to the closure of its Belgium-based subsidiary in April 2002, the sale of its flexo chemical business and price deflation in the printing market.

It made a pre-tax loss of 818,000 after it absorbed 2.1m of exceptional charges relating to a shortfall in its pension scheme.

Litho Supplies is often regarded as one of the bellwether companies in the UK printing industry due to its size and nature of the business. Joint managing director Gerry Mulvaney said that the company was debt-free, had good cash flow and had a good control of costs.

We are pleased because 2003 was a tight market. Were operating much more efficiently so costs are continually looked at, said Mulvaney.

Story by John Davies