10th Sep 2014 09:29
LONDON (Alliance News) - Animal feed additives producer Anpario PLC Wednesday reported higher profits for the first half of the year, driven by strong sales growth in the Americas and Asia, and said strong cash generation means it's well placed to fund organic growth and potential acquisitions.
The company reported a pretax profit of GBP1.6 million for the six months to June 30, up from GBP1.5 million a year earlier, as revenue rose to GBP13.1 million from GBP12.8 million, and a focus on selling specialist feed additive products into growth markets helped push up its gross margin.
Revenue rose 67% in the Americas and 13% in Asia, driven by 34% sales growth in China. It made its first sales in the US pig market during the half. However, the comparative strength of sterling weighed on its revenue earned overseas when translated back to sterling.
"We are confident of maintaining the momentum of the first six months performance and expect the group to meet market expectations for the year ended 31 December 2014," it said in a statement.
"The healthy cash balance and continuing cash generative nature of the business leaves Anpario well positioned to finance further organic growth. In addition, the group is also able to consider making selective investments and earnings enhancing acquisitions, should suitable opportunities arise," Chairman Richard Rose said.
Anpario shares were up 0.7% at 260.70 pence Wednesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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