4th Jun 2007 07:02
Low & Bonar PLC04 June 2007 4th June 2007 LOW & BONAR PLC TRADING STATEMENT Low & Bonar PLC (the "Group"), the specialist materials group, is today issuinga first half trading update prior to the announcement of its interim results.The Group will announce its interim results for the six months ending 31st May2007 on 16th July 2007. During the first half, the Group has continued to make good progress in thesuccessful execution of its stated strategy of organic and acquisitive growth.As a result, trading is in line with the Board's expectations. The Floors Division has made encouraging progress despite a higher than expecteddecline in lower margin third party sourced products sold to the Ministry ofDefence. However the sale of manufactured branded products has increased andthis change in sales mix has had a positive effect on the operating margin. The Technical Textiles Division has benefited considerably from a full firsthalf contribution from, and successful integration of, both Geo-Tipptex andColbond, the acquisitions made during 2006. Continued progress has also beenseen in our Fabrics business, offsetting the expected continuation ofchallenging trading conditions within Specialist Yarns. Overall, operatingmargins have progressed and the raw material prices environment has been asanticipated, with a much more stable pattern in this period. As noted in ourPreliminary Announcement in February 2007 average raw material prices are notexpected to change significantly during 2007. However, current expectations arethat, from 2008, increased capacity amongst suppliers is expected to provide adownward pressure on raw material prices. Contact Low & Bonar PLC Kevin Higginson Group Finance Director 020 7535 3180 Tulchan Communications David Trenchard 020 7353 4200Peter Hewer 020 7535 4200 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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