Trading Statement

RNS Number : 3227Y

Zotefoams PLC

21 December 2010

 



21 December 2010

Zotefoams plc
("Zotefoams" or "the Company")

Trading Update

Zotefoams, which manufactures and sells high-performance foams, today provides a trading update prior to the Company's financial year end on 31 December 2010.

Since the Interim Management Statement dated 22 October 2010, the business has once again performed in line with our expectations, with sales in the fourth quarter anticipated to be approximately 7% ahead of the same period in 2009. The Board therefore expects profit before tax and exceptional items for the year ending 31 December 2010 to be in line with market expectations, which are based on an accounting basis consistent with 2009.¹

Overall sales growth for the year is expected to exceed 20%. Our Azote® product range has seen strong sales growth across all major geographic markets, particularly in Asia. HPP (High-Performance Polymer) segment sales are expected to be approximately 50% above 2009 levels. Prices for LDPE, our major raw material, have remained relatively stable during the second half of 2010.

The Company intends to announce its preliminary results for the year ending 31 December 2010 on Tuesday, 8 March 2011.

Enquiries:

Zotefoams plc David Stirling, Managing Director Clifford Hurst, Finance Director	0208 664 1600
Financial Dynamics Limited Ben Brewerton/John Dineen	0207 831 3113

¹ As described in note 9 in our Interim Report, from 1 July 2010 our 30% shareholding in MuCell Extrusion LLC will be treated in accordance with IFRS 3 (revised).   The assets and liabilities of MuCell from 1 July 2010 will be included in Zotefoams' consolidated statement of financial position with a deduction in equity as a non-controlling interest, for the 70% of MuCell's net assets, to reflect the shareholding in MuCell which Zotefoams does not own. The income statement for MuCell will be consolidated in Zotefoams' consolidated income statement with a deduction as a non-controlling interest below profit after tax of 70% of MuCell's profit after tax to reflect the shareholding in MuCell that Zotefoams does not own.

Our internal expectations are based on exchange rates at the date of this announcement

 

END

 

 

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