23rd Sep 2015 07:28
LONDON (Alliance News) - Airea PLC on Wednesday reported growth in profit in its recently-ended financial year as it strengthened its product range and invested in the company, and said it is positioned to take advantage of further growth opportunities.
The flooring manufacturer reported a rise in pretax profit in the year ended June 30 to GBP650,000, almost double the GBP330,000 it made in the first half of 2014. Revenue grew 11% to GBP25.5 million from GBP23 million.
Airea said that revenue growth resulted from the strengthening of the product range and improvement in routes to market, with particular success from the contract flooring sector where sales rose 15.3%. Geographically, UK sales increased 12.3%, while international sales were up 7.5%.
The company warned that it faces high levels of competition in the European flooring market, but said that trading conditions in the UK are improving, and that it is still managing to grow sales in international markets despite the ongoing strength of sterling.
Airea will pay a final dividend of 0.9 pence.
"It is pleasing to see that the business has started to reap the benefits of judicious investment in innovation and cost-cutting initiatives with a clear pay-back, and given the debt free foundation of the business further investment to facilitate growth is planned for the coming year," Airea said in a statement.
"In summary the business is positioned to take advantage of further growth opportunities and whilst there remain clear causes for concern in the eurozone, so far, the business has been able to grow sales despite currency issues and a general stagnant European market," the company added.
Shares in Airea were trading up 1.3% at 22.27 pence early Wednesday.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
AIREA