- CORPORATE
REVIEW 
- OPERATIONAL
REVIEW - GOVERNANCE AND
SUSTAINABILITY - ANNUAL FINANCIAL
STATEMENTS- Independent auditor's report
- Company secretary's certificate
- Directors' report
- Balance sheets
- Income statements
- Statements of changes in equity
- Cash flow statements
- Notes to the annual financial
statements - Subsidiary and other information
- Annexure A - Segmental reporting
- Annexure B - Shareholders' diary 2007/8
- Notice of annual general meeting
- Corporate information
- Form of proxy
Operational Review
Paul Redondi
Dipl Textile Engineering (Bergamo)
Joint Managing Director
Mark Balladon
CA(SA)
Joint Managing Director
Glodina
Profile
Glodina is the leading branded manufacturer of quality towelling and related products in
South Africa.
Over the past 50 years, Glodina has become a household name, not only as the preferred provider of towelling products to top South African retailers, but also as a respected supplier of superior products which play a key role in the success of the hospitality industry.
With prized Glodina Black Label brands such as “Glodina Beach”, “Soft Touch” and “Marathon”, Glodina has become synonymous with an uncompromising commitment to quality, affordable luxury and durability.
Period under review
Glodina has over the 18-month period performed exceptionally well, both in terms of market growth and profitability. Despite increases in interest rates, consumer demand continued to be unaffected in the sector, with all major retailers having recorded approximately 10% annual growth in the textile sector, which is expected to continue.
Glodina continued to drive innovation and quality in the marketplace, striving to achieve customer service excellence and a value for money product-price offering. The brand, diversity and service level have been crucial in our retention of market share.
In order to maintain current competitiveness and further reduce conversion costs, R23 million was invested in capital plant and machinery over the period. This investment was mainly concentrated in the areas of automation and replacement of outdated equipment to further improve efficiencies and reduce waste and lead times.
Hospitality remains a major focus area within the strategic direction of Glodina. Attention was given to being constantly well stocked and also marketing the advantageous properties of the "snagproof" hospitality towels. The main drive to increase market share in this sector took place via the major chains and the wholesalers.
Improved customer service levels and the ongoing building of the Glodina brand have enjoyed priority during the period, and a continual investment in the training and development of staff has shown great returns in terms of improved productivity and greater flexibility.
Prospects
Future prospects include growth in earnings, which will largely depend on maintaining margins. The Glodina cost structures over the last three years have been reduced in line with landed imported prices.
