Wishbone Gold PLC (LON:WSBN) said it was looking to focus more on gold trading in the Middle East as it reported a big increase in sales in the first six months of the year.
With trading volumes mainly from local trading and from Asia, the AIM-listed company reported sales of US$6.6mln in the six months to end-June, compared to US$3.9mln this time a year earlier and US$10.9mln for the whole of last year.
Gross margins inched up to 0.48% from 0.42% in the last full year and chairman Richard Poulden said margins had improved further as the proportion of Asian trading rose in the two months since, after the opening of new gold trading operations in Hong Kong.
“With the marked increase in the gold price we have seen an increased interest in holding physical gold,” he said.
Amid increased activity in cross border trading of physical gold, Poulden said Wishbone’s Dubai operations were “well positioned” between Asia and Europe, but that the company had decided to “extricate itself” from its Honduras joint venture.
Losses before tax of US$537,737 were little changed compared to the US$527,428 in the same period a year ago.