Communications and electronics business Codan has sacked about 40 workers in Adelaide a day after it announced a record yearly profit. The locally-based company reported a $45 million net profit, almost double the amount recorded in the previous financial year, but a spokesman says there were adverse conditions for the business in the second half. They included a fall in demand for its metal detectors in African markets because of bad weather and civil unrest. The jobs will go from the company's Newton offices in Adelaide's east. Codan also has offices at Cavan, Torrensville and in Western Australia and says it will move some low-level manufacturing to Malaysia. That move is expected to save the company $2 million in operating costs but the company will retain about 300 staff in Adelaide. Codan makes electronic goods for the defence and mining sectors. It has sold thousands of portable field radios used to encrypt messages for the Australian, British and US militaries and was featured in a earlier this year about industrial espionage.
CDA Price at posting:
$1.89 Sentiment: None Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)