7th Mar 2019 12:08
LONDON (Alliance News) - Flooring company Airea PLC on Thursday said profit grew in 2018 as it intends to further invest in its core flooring business in 2019.
Airea's pretax profit decreased 28% to GBP2.6 million in 2018 from GBP3.6 million in the 18 months to the end of 2017. Compared to calendar 2017, Airea's operating profit increased 7.1% in 2018 to GBP3.0 million.
The company's revenue decreased 28% over the same period to GBP19.3 million from GBP26.9 million. Compared to calendar 2017, Airea's revenue increased 8.4% in 2018.
The company said it was "pleased" with the "significant" growth in revenue and operating profit in 2018.
Airea attributed the successful launches of higher added value products and sales growth in UK and International markets as the driving force behind the improved performance in the year.
Airea - which is focused on manufacturing, marketing and distribution of floor coverings - upped its final dividend 14% to 2.0 pence.
After selling its residential carpets business, Ryalux, Airea said it has increased free cash and was able to increase its dividend and support a progressive dividend policy.
Looking ahead, the company said its increased investment in its flooring business "provides significant opportunities for profitable growth". Airea said it will continue to invest in new products in 2019.
Shares in Airea were down 0.7% Thursday at 73.00 pence each.
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