30th Jun 2006 11:22
Macfarlane Group PLC30 June 2006 Macfarlane Group PLC Pre-close trading update Macfarlane Group ("the Company") intends to announce its results for the sixmonths to 30 June 2006 on Tuesday 5th September 2006. The Company will report an increase in sales from continuing activities in thefirst half compared to the equivalent period in 2005. Despite this sales growth,margins, primarily in Distribution, have been softer than expected, particularlyin the second quarter and the rate of new business wins in the Labels businessis slower than anticipated. As a result profitability for the first half of theyear from continuing activities is expected to be lower than the first half lastyear. The Company continues to expect a significant uplift in profit from continuingactivities for the full year compared to 2005, but to a level below previousexpectations, primarily due to reduced profitability in the Labels business.Within the results for the full year the Manufacturing Division (which includesthe Labels business) is expected to produce profits in 2006 at a level similarto those in 2005. The Distribution Division's profits for the full year areexpected to be ahead of those in 2005. The Company's intentions with regard to dividend payments set out earlier thisyear remains unchanged. Further information Archie Hunter Chairman 0141 333 9666 Peter Atkinson Chief Executive 0141 333 9666 John Love Finance Director 0141 333 9666 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Macfarlane Grp.