Coats Group sales grow 20% in year to date
Industrial thread manufacturer Coats Group said on Wednesday that it had experienced "strong sales momentum" through the first four months of the year, with group sales growing 20% year-on-year.
Coats stated its apparel and footwear unit had witnessed "very strong volume growth", driven by industry inventory restocking, buffer buying to support supply chain disruption, and a continued underlying market recovery had resulted in sales growth of 21% for the division.
The FTSE 250-listed firm's performance materials wing reported growth of 16% due to strong pricing and double-digit growth in both personal protection and composites. Coats added it saw "strong growth" across Asia, EMEA, and the Americas.
Coats added that pricing and productivity actions had been successfully implemented and were continuing to offset inflationary pressures in the supply chain, supporting margin progression across both divisions.
"We continue to focus on executing our plans in the current macro-economic conditions. Price leadership, productivity programmes, and strategic projects underpin our performance. Our outlook for the year remains unchanged," said Coats.
Reporting by Iain Gilbert at Sharecast.com