14th Apr 2016 07:48
LONDON (Alliance News) - Bonding materials and services company Scapa Group PLC on Thursday said it delivered a strong second half to its financial year, with results ahead of both the year earlier and its own expectations.
Scapa said the progress it reported at its interim results in November had continued into the second half to March 31, with revenue ahead of last year. Margins and trading profits, before exceptional items, amortisation of intangible assets and legacy pension credits, costs and finance charges, came in ahead of the previous year and of its expectations.
Scapa said its healthcare division continued to deliver a strong performance, with annual revenue growth of 26%, or 19% at constant exchange rates, and said margins had been maintained year-on-year in this division. It noted the signing of a six-year contract extension within the division with wound therapeutics company Convatec, which it said strengthened its strategic relationship.
Scapa added its industrial division had made further good progress with its asset optimisation strategy, and said trading profit and margins are ahead of last year in the division.
Scapa ended the year with net debt of GBP2.7 million, better than expected and after outflows from exceptional costs.
"We have delivered another set of strong results which are ahead of expectations as we execute our strategies for healthcare and industrial. Notwithstanding challenging global market conditions, we remain confident of achieving further progress through organic growth and acquisitions," Chief Executive Heejae Chae said.
Scapa will report its full-year results on May 24.
Shares in Scapa were up 5.7% at 232.00 pence on Thursday morning.
By Hannah Boland; [email protected]; @Hannaheboland
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