25th May 2021 09:35
(Alliance News) - Avon Rubber PLC on Tuesday posted a first half swing to profit, unveiled plans to change its name and added that its finance chief will step down before the end of March 2022.
Shares in the midcap personal protection systems maker were 6.3% lower at 3,060.71 pence each in London on Tuesday morning.
In the six months ended March 31, revenue rose 41% year-on-year to USD122.0 million from USD86.5 million. Avon Rubber swung to a pretax profit of USD5.4 million from a USD1.8 million loss a year earlier.
The company upped its interim payout by 30% to 14.3 cents per share from 11 cents.
Avon Rubber ended the first half with a USD156.6 million order book, up 16% from USD135.2 million a year earlier.
Among its first half highlights, the company noted newly-integrated helmets supplier Team Wendy had a promising six months. Avon Rubber in September 2020 agreed to buy the unit for USD130 million.
"We have seen significant growth in respiratory protection from both Military and First Responder customers, while Team Wendy has performed well following the acquisition in November 2020, and we completed the integration of the ballistic protection business acquired in January 2020 from 3M," Chief Executive Officer Paul McDonald commented.
"Following the transformation of the group in 2020 into a leading provider of life critical personal protection systems, we have made a strong start to 2021, continuing to deliver organic growth in orders and revenues, together with further progress against our strategic objectives."
To better reflect its transformation, McDonald noted the company has proposed changing its name to Avon Protection PLC during the second half of the year.
In addition, the company said Chief Financial Officer Nick Keveth will depart before the end of March 2022.
"This will enable him to manage the completion of the current financial year ending 30 September 2021 and to make an orderly handover of his duties to his successor."
Avon Rubber said it has kicked off a search to find Keveth's replacement.
By Eric Cunha; [email protected]
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