18th Sep 2014 08:33
LONDON (Alliance News) - Windows and doors maker Safestyle UK PLC saw its shares rise Thursday after reporting a higher pretax profit for the first half of 2014, driven by market share gains and 10% increase in revenue.
The company declared an interim dividend of 3.1 pence per share, having posted a pretax profit of GBP8.6 million for the six months to end of June, up from GBP7.8 million a year earlier, boosted by strong growth in revenue to GBP69.2 million, up 10% on the GBP62.7 million in revenue generated in the first half of 2013.
"Safestyle UK has enjoyed a successful first half of 2014 during which market share, turnover and profitability all increased. We continue to pursue our strategies of expansion in the South and South East and increasing market share. We started the second half of 2014 with a strong order book and order intake to date has been as expected, and we remain on course to meet full year expectations," said Chief Executive Steve Birmingham in a statement.
The company said its expecting modest volume growth for the market for the remainder of 2014 and into 2015, leaving it confident looking forward.
"With our focus on increased geographic penetration and market share gains, the board is confident that we can continue to deliver growth in sales, profit and cash flow," it said.
Safestyle UK shares were up 7.4% at 177.75 pence Thursday morning, one of the best-performing stocks on London's AIM market.
Birmingham told Alliance News earlier this year that Safestyle's tried and tested marketing route of door-step canvassing followed by a telephone call resulting in a sales visit, has begun to change, as the internet offers a differentiated way to generate leads.
The company said in its statement Thursday that the proportion of leads being generated by door canvassing fell to 53% in the first half, from 56% in 2013.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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