Third Quarter Trading Statement

RNS Number : 9104Q

Croda International PLC

27 October 2011

 



27 October 2011

Croda International Plc

Third Quarter Trading Statement

Commenting on trading for the quarter ended 30 September 2011, Martin Flower, Chairman of Croda International Plc, said:

"I am pleased to report good turnover and profit progress in the third quarter, driven by sales growth and margin improvement in our core businesses.

For the three months ended 30 September 2011, Group sales from continuing operations increased 5.1% to £265.6m (2010: £252.6m). In most business areas we saw an improving trend during the quarter.

Operating profit from continuing operations increased 18.3% to £57.6m (2009: £48.7m). Interest costs fell, resulting in continuing pre-tax profit increasing 20.8% to £57.4m (2010: £47.5m).

Year-to-date, the pre-tax profit from continuing operations is up 27.1% at £182.2m (2010: £143.4m).

Consumer Care continued to trade strongly in the third quarter, reporting a significant increase in sales (+13.6%) and operating profit (+30.8%) and improved margins versus the corresponding quarter in 2010. Sales and operating profits in all business areas within Consumer Care were well ahead of 2010.

Industrial Specialities turnover declined 3.5% against the tough comparatives of a particularly strong third quarter in 2010. The shortfall was in July, with sales in the rest of the period ahead of 2010. Operating profit was down 6.8% with a decrease in commodity and by-product profitability being partially mitigated by stronger performances elsewhere in the sector.

Net debt reduced by £15.5m to £237.8m in the quarter (2010: £240.7m) despite completing the £50m buyback programme in the period.

Croda continues to trade well and we expect to report further progress in the final quarter and into 2012."

For further information please contact:

Mike Humphrey	Group Chief Executive	01405 860551
Sean Christie	Group Finance Director	01405 860551
Charlie Armitstead	FTI Consulting	020 7269 7176

The company will host a conference call for analysts at 8.00am today.

Please dial [phone] and quote "Croda International" to gain access to the call.

Additional Information

£m		Q3			9 months
	2011	2010		2011	2010
Consumer Care	145.6	128.2	+13.6%	439.2	392.6	+11.9%
Industrial Specialities	120.0	124.4	-3.5%	386.0	371.9	+3.8%
Continuing turnover	265.6	252.6	+5.1%	825.2	764.5	+7.9%
Consumer Care	42.5	32.5	+30.8%	130.5	103.6	+26.0%
Industrial Specialities	15.1	16.2	-6.8%	52.4	45.6	+14.9%
Continuing operating profit	57.6	48.7	+18.3%	182.9	149.2	+22.6%
Operating margin	21.6%	19.3%		22.2%	19.5%
Interest	(0.2)	(1.2)		(0.7)	(5.8)
Continuing pre tax profit	57.4	47.5	+20.8%	182.2	143.4	+27.1%

Analysis of Q3 turnover uplift
Price/mix	+18.4%
Volume	-14.8%
Currency translation	+1.5%
Continuing turnover increase	+5.1%

 

END

 

 

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