James Cropper profits spurred higher by Colourform business
James Cropper on Tuesday reported a jump in interim profits on the back of revenue growth driven by its Colourform subsidiary, with the company expecting further improvement over the remainder of the year.
The advanced materials and paper products company booked a profit before tax of £2.0m for the half year to 28 September, 42% higher than in the comparable period last year, as turnover rose by 5% to £52.8m following growth from all divisions.
The AIM traded company held its interim dividend steady at 2.5p per share.
Sales from James Cropper's Colourform 3D products segment jumped from £135,000 to £1.2m following increased activity in the European beauty and cosmetics market.
Meanwhile, paper revenue edged up by 2% to £38.0m and technical fibre sales rose by 5% to £13.6m.
The company said it expected continued growth in the second half of the year, with further 3D product sales growth anticipated as an improved mix and a softening of pulp prices are projected to lead to improved profitability
Chairman Mark Cropper said: "We invest significantly in people, innovation and capability. This will ensure that over the long term the group has the potential to sustain growth across all its businesses. In the nearer term, the full year results are anticipated to be in line with management expectations."
James Cropper shares were up by 3.27% at 1,420.00p at 1106 GMT.