Business
Annual Results
Annual Results.
About this update from Macfarlane Group Plc
[{"type":"text","content":"\n \n\n\n\n\n\nRNS Number : 1411C Macfarlane Group PLC 02 March 2011 \n \n\n \n2 March 2011\n \nMACFARLANE GROUP ANNUAL RESULTS FOR THE YEAR TO 31 DECEMBER 2010\n \n· Group turnover increased by 9.6% to £135.5m (2009: £123.6m)\n· Profit before tax of £4.2m (2009: £2.5m)\n· Exceptional income benefits from curtailment gains in pension scheme of £1.1m\n· Profit before tax before exceptional items of £3.4m (2009: £3.2m)\n· Gross margin of 31.0% (2009: 32.5%)\n· Pension deficit reduced by 23% to £15.7m\nŸ Proposed final dividend up 5% to 1.05p per share, providing full year total of 1.55p\n____________________________________________________________________________________\n \nArchie Hunter, Chairman of Macfarlane Group PLC today said: -\n\"2010 was a year in which Macfarlane Group responded to testing trading conditions and challenging cost price pressures. The Group attained growth in both turnover and profits while reducing its pension deficit and total debt. \nA year ago the challenge was clear - to deliver on the strategic action plans developed to take advantage of the strong foundations the group had created. In the event, progress has been achieved in a number of areas but the main focus of attention had to be on the response to the largest supplier price increases the Group has had to deal with for many years.\nTrading\nGroup turnover increased to £135.5m (2009: £123.6m) in a tough market and we converted this into a pre-exceptionals pre-tax profit of £3.4m (2009: £3.2m). The absence of the restructuring costs of £0.7m in 2009, and a one-off benefit of £1.1m from a curtailment gain in the pension scheme offset by property provisions of £0.3m, resulted in the Group's post-exceptionals pre-tax profit increasing to £4.2m (2009: £2.5m).\nIn addition to the difficult conditions presented by the UK economy, the market was subject to unprecedented raw material price rises, accumulating through the year, in excess of 30% for corrugate and over 20% for plastics, requiring significant attention to be devoted to margin protection. That the Group's gross margin has been held at 31.0% (2009: 32.5%) is a result of the significant focus on successfu...