Lower sales volumes and higher selling expenses resulted in a drop in net sales for the first quarter ended 31 March 2003 for US company Technology Flavors & Fragrances (TFF).
An uncertain economic climate, significantly impacted by the war in Iraq, resulted in net sales falling to $3,816,000 (€3,463,000) from $4,211,000 for last year's comparable quarter, representing a net loss of $92,000, or $.01 per share, the company reported this week.
"We are naturally disappointed with our first quarter operating results as unfavourable external market conditions negatively impacted our performance," said chairman and CEO of TFF, Philip Rosner. He went on to add that the company has stepped up sales and marketing activities in a bid to combat the more stretching times currently facing the company.
"We believe these activities, as well as upcoming new customer product launches, which have been delayed up until now, will further boost sales and earnings later this year," added Rosner.
In November last year TFF authorised the repurchase of up to 500,000 shares of its common stock. The authorisation included open market purchases, block transactions and privately negotiated purchases.
Commenting on the repurchase, Philip Rosner said at the time: "We believe that the company's stock, at its current valuation, represents an attractive investment opportunity at this time. This action by the board of directors reflects its confidence in TFF's business, management and future prospects."