Imports hit profits at Waterford

The firm has also been hit by poor sales at the start of 2005

Fine crystal and china maker Waterford Wedgwood has reported an increase in its pre-tax loss and said it had faced "serious challenges" during the year.

The Irish firm, which announced 1,800 job cuts in May, has been hit during the past three years by slowing US sales and cheaper Asian imports.

It saw a pre-tax loss of 149.2m euros ($179.8m; £99m) in the year to April, against a loss of 45m euros a year ago.

The first 11 weeks of the new financial year had also been "challenging".

'Weak demand'

The company, which makes the well-known Waterford crystal, had already warned of weak results after poor sales at the start of 2005.

An improved sales trend is anticipated for the second half [of the year] Chief executive Redmond O'Donoghue See Waterford Wedgwood's share price

"The year just ended presented serious challenges to our group: a soft dollar, weak demand and below optimal throughput for our manufacturing operations," said chief executive Redmond O'Donoghue.

Mr O'Donoghue predicted a sales drop of 8% for the April-to-June period compared with a year ago, on a like-for-like basis.

However the company, which conducts 40% of its sales in dollars, said it was encouraged by a rally in the greenback, which might help boost its exports to North America.

He also said that sales books were looking stronger and "an improved sales trend is anticipated for the second half" of the year.

The job losses announced in May came as part of a 90m euros global restructuring.

At the time Waterford Wedgwood also unveiled plans for a 100m euros rights issue.