29th Jan 2015 10:04
LONDON (Alliance News) - Avon Rubber PLC Thursday said it is trading in line with expectations, with a solid performance in its protection and defence business and good momentum in its dairy arm.
The rubber-based products manufacturer said trading in its financial first quarter to the end of December was in line with its expectations.
In its protection and defence business, mask systems production is now focusing on fulfilling orders to the US Department of Defense under its 10-year contract for the JSGPM M50 mask. It expects this to continue through the first half of its financial year.
The group added it is seeing an encouraging level of quotes for its higher-margin export military masks, though it said the timing of orders remains unpredictable. Fire service products growth rose year-on-year in the quarter, and the group is seeing strong demand for its Deltair self-contained breathing apparatus product. AEF, its flexible fabrications arm, has secured orders which will sustain the business into the second half.
In its Dairy business, in which the company makes liners and tubing for the dairy industry, the positive momentum seen in the second half of its financial year ended September 30, 2014 has continued into 2015, with trading "extremely strong" in the first quarter, Avon Rubber said.
The group said it is seeing encouraging demand for its Cluster Exchange services in North America and Europe and has now created a sale and distribution facility in Brazil in order to expand in the South American dairy market.
Avon shares were up 1.2% to 797.50 pence on Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Avon Protection