10th Nov 2015 09:51
LONDON (Alliance News) - Paper products company James Cropper PLC on Tuesday said its pretax profit ticked higher on better revenue in the first half as more subdued growth in its paper business was buoyed by a strong performance for its technical fibre products arm.
Cropper said its pretax profit for the half to September 26 was GBP1.7 million, up from GBP1.2 million for the half to September 27 a year earlier.
Revenue rose to GBP42.1 million from GBP40.1 million, with 1.0% revenue growth in its paper business and 25% growth for its technical fibre products unit. The paper business was marginally stronger in the year, though most of this was offset by the weak euro, while the technical fibre products arm benefited from strong demand from the aerospace, energy and automotive markets.
The company also launched a 3D Products unit in the half, which will make paper packaging products as an alternative to plastic packaging. It expects this business to provide a base for its growth in future years.
James Cropper said it will pay a flat interim dividend of 2.2 pence per share.
"It is anticipated that the group will continue to operate in line with the board's expectations for this year. I am pleased with the progress we have made in the first half of this financial year and that focused operational and commercial initiatives continue to strengthen our long term prospects," said Chairman Mark Cropper.
Shares in James Cropper were down 1.1% to 611.00p on Tuesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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