Business
Results for the year ended 31 December 2018
Results for the year ended 31 December 2018.
About this update from Eurocell Plc
[{"type":"text","content":"\n \nRNS Number : 9513S Eurocell plc 15 March 2019 \n\n15 March 2019\n \nEUROCELL PLC (Symbol: ECEL)\nPRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2018\nGood progress with strategic priorities and strong sales performance\n \nEurocell plc is a market leading, vertically integrated UK manufacturer, distributor and recycler of innovative window, door and roofline PVC building products\n \n\n\n\n\n \n\n\n2018\n\n\n2017\n\n\nChange\n\n\n\n\nKey financial performance measures\n\n\n \n\n\n \n\n\n \n\n\n\n\nRevenue (£ million)\n\n\n253.7\n\n\n224.9\n\n\n13%\n\n\n\n\nGross margin % \n\n\n49.5%\n\n\n51.0%\n\n\n(1.5)%\n\n\n\n\nAdjusted EBITDA (£ million) (1) (4)\n\n\n30.3\n\n\n31.7\n\n\n(4)%\n\n\n\n\nAdjusted basic earnings per share (pence) (2)\n\n\n19.1\n\n\n20.4\n\n\n(6)%\n\n\n\n\nTotal dividends per share (pence) \n\n\n9.3\n\n\n9.0\n\n\n3%\n\n\n\n\nNet debt (£ million) (3)\n\n\n23.5\n\n\n14.5\n\n\n(£9.0)m\n\n\n\n\nOther statutory accounting measures\n\n\n \n\n\n \n\n\n \n\n\n\n\nProfit before tax (£ million)\n\n\n22.1\n\n\n23.7\n\n\n(7)%\n\n\n\n\nBasic earnings per share (pence)\n\n\n19.6\n\n\n19.6\n\n\n-%\n\n\n\n\n \nStrategic Highlights\n\nContinuing to gain market share - now the largest supplier of rigid profile to the UK market\nExpanding branch network - now 202 sites \nIncreasing use of recycled material - acquisition of Ecoplas consolidates position as leading UK recycler of PVC windows\n\n \nFinancial and Operational Highlights\n\nStrong sales growth of 13% (12% excluding acquisitions)\nSales growth and mix changes exceeded capacity, impacting manufacturing efficiency and customer service\nGross margin and EBITDA therefore down, as anticipated\nAction taken to expand production capacity and strengthen operational teams\nCustomer service now normalised - implementing selling price increases in 2019\n\n \nMark Kelly, Chief Executive of Eurocell plc said:\n\"We made good progress with our strategic priorities in 2018, delivering further gains in market share and continued investment in the growth of our business, both organically and through acquisitions.\n\"Strong sales growth exceeded our manufacturing capacity, both in terms of volume and mix. This challenged our production and distribution activities, impacting on manufacturing efficiency in the sho...