31st Mar 2016 06:51
LONDON (Alliance News) - Plastic piping systems manufacturer Polypipe Group PLC on Thursday said its pretax profit had more than doubled in 2015 on the back of boosted sales in its UK operations.
Polypipe reported a pretax profit of GBP41.5 million for the year ended December 31, from GBP16.9 million the previous year, after revenue rose 8.0% to GBP352.9 million from GBP327.0 million, whilst finance and administration expenses fell.
Finance costs were down at GBP8.0 million from GBP17.5 million, and administration expenses were GBP34.3 million, down from GBP40.7 million.
The increased sales came largely from its UK operations, Polypipe said, where revenue was up 11% at GBP303.9 million from GBP274.8 million, despite a slowdown in the residential repair, maintenance and improvement market.
This growth offset a 7.0% fall in revenue coming from mainland Europe, to GBP50.4 million from GBP53.9 million. Polypipe said it has continued to focus on its improvement initiatives in this region.
Polypipe recommended a final dividend of 5.50 pence per share, which takes the full year dividend to 7.80 pence, up from 4.50 pence for 2014.
The company said it was encouraged by reports of growth in repair, maintenance and improvement spend in the early part of 2016 following the upturn in housing transactions during the second half of 2015.
"While there are economic and political uncertainties, 2016 has started well and the board is confident that the market fundamentals in our main UK market remain positive and that we are pursuing a sound strategy for the future development of the business," said Chief Executive David Hall.
By Hannah Boland; [email protected]; @Hannaheboland
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