4th Oct 2007 07:00
Victrex PLC04 October 2007 Thursday 4 October 2007 Victrex plc Annual Trading Update and Completion of second VICTREX(R) PEEK(TM) polymer plant Annual Trading Update The Company announces its trading update for the year ended 30 September 2007. We expect profits for the year to be in line with analysts' expectations withrecord annual sales volume and better than expected second half margins. Sales volume for the year grew by 7% to approximately 2,508 tonnes (2006: 2,339tonnes). Second half sales volume of around 1,222 tonnes was in line with theprevious second half (1,226 tonnes) but 5% down on the first half (1,286 tonnes). However, group sales volume in August and September increased to levelssimilar to those achieved in the first half. •United States full year sales volume of 791 tonnes was 9% up on the previous year (724 tonnes). Second half sales volume of 402 tonnes was up 3% from 389 tonnes in the first half. •Asia-Pacific sales volume of 474 tonnes for the year was up 13% on 2006 (419 tonnes). Second half sales volume of 233 tonnes was in line with the record first half performance of 241 tonnes. •At 1,243 tonnes, European sales volume was 4% up on the previous year (1,196 tonnes) although second half sales volume of 587 tonnes was 11% down on the strong first half of this year (656 tonnes). This was largely due to reduced electronics sales, principally to European processors for use in Asia-Pacific applications. •Full year revenue of Invibio(R), our biomaterial business, grew by 25% to approximately £19.2m, compared with last year (£15.4m). As expected, second half revenue was in line with the first half of £9.5m. Looking ahead, we continue to see opportunities to increase our sales volume andremain confident in the fundamentals underlying the business. Consequently, welook forward to further progress being made. The announcement of the Company's results for the year ended 30 September 2007will be made on Tuesday, 11 December 2007. Completion of second VICTREX(R) PEEK(TM) polymer plant Victrex also announces the completion of construction of its second VICTREX PEEKpolymer powder plant at a capital cost of approximately £32m, which will bedepreciated over its estimated useful life of 30 years. The plant has thecapacity to support a further 1,450 tonnes per annum of VICTREX PEEK sales andis expected to be fully operational by the end of the year. As previously reported, we have also commenced the uprate of the BDF supplychain (our key raw material) to support this additional polymer capacity at anestimated capital cost of £23m with completion expected in autumn 2008. -Ends- For further information please contact: Victrex plc 01253 897700Michael Peacock, Finance DirectorHogarth Partnership Limited 0207 357 9477Nick Denton / Barnaby Fry Victrex plc is an innovative world leader in high performance materials throughthe manufacture of VICTREX(R) PEEK(TM) polymer, a high performance, easy to processthermoplastic. VICTREX PEEK has a unique combination of chemical, wear, electrical, hydrolysisand temperature resistance, as well as excellent dimensional, mechanical andchemical stability combined with inherent purity and low flammability. End users specify VICTREX PEEK to reduce systems costs, improve partperformance, exploit greater design freedom and create a differentiatedapplication. VICTREX PEEK is used across a broad range of applications indiverse markets including transport, industrial, electronics and medical.Invibio(R), Victrex's biomaterial business, provides specialised solutions formedical device manufacturers. The Group's headquarters are in the UK where its manufacturing facilities arebased. This is complemented by a global network of sales, distribution andtechnical centres that serve more than 30 countries worldwide. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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