Complex sentence: In 1925, exercises were conducted off the Dalmatian coast, involving the majority of the navy, but by 1932, the British naval attaché was reporting that Yugoslav ships were engaging in few exercises or manoeuvres due to reduced budgets.
Split into simpler sentences: In 1925, exercises were conducted off the Dalmatian coast, involving the majority of the navy. In 1932, the British naval attaché was reporting that Yugoslav ships were engaging in few exercises or manoeuvres due to reduced budgets.