The increase may be put down to a change in the policy of the holding company as regards to the consolidation of the results of is subsidiaries and associated companies.
Last year Industrial Capital Holding consolidated the financial results only of companies in which it controlled over 50% of the capital (Siloma and Rubolt). This year the results of three other companies – ZAI (47.22%), EMKA (33.42%) and М+S Hydraulic (22.37%) were included in the consolidated financial results of the holding company as at March 31.
The consolidated business costs of the holding company marked a considerable increase as a result of the change growing from 1.5 mln leva (767,000 euros) as at March 31, 2007 to 25.77 mln leva (13.17 mln euros) a year later. Material costs accounted for the bulk of the figure.
Industrial Capital Holding booked 2.75 mln leva (1.4 mln euros) consolidated profit for the first quarter, compared to 274,000 leva (140,100 euros) profit booked for the year-ago period.
The stock of the company has appreciated by 3.32% to an average of 9.04 leva per share on the Bulgarian Stock Exchange (BSE) so far today.