Market News - Page 800

At the Company's Annual General Meeting held at 11.00am today, Mark Cropper, Chairman, will make the following statement:
“I am pleased to report that the Group has enjoyed a promising start to the current financial year and has traded profitably in the first quarter and in line with management expectations.
Group sales for the quarter are up 9% on the prior year quarter. Both James Cropper Paper (“Paper”), the paper business, and Technical Fibre Products (“TFP”) are enjoying year on year growth. Paper business growth is being realised from our focus on higher value niche markets such as packaging, creative papers and digital. TFP growth has come from our energy, aerospace and industrial markets.
Developments at our new subsidiary James Cropper 3D Products remain on track. The first moulding machines were successfully commissioned in the quarter and customer trials are underway. Initial feedback from the market, in the main retailers and brands, has been positive. We hope to begin commercialising our unique, sustainable alternative to plastic in the remainder of the financial year.
Our plans for the year will not be materially impacted by the UK's vote to exit from the European Union. Our capital investment plans remain unchanged as do our recruitment and R&D activities. The Group's exposure to currency is mitigated by growing exports. Continuing the export drive is a core strategic focus for management.
Overall, the outlook for the Group remains positive. TFP will make use of available manufacturing capacity to accelerate sales into aerospace, green technologies and defence markets. Paper will continue to develop its product portfolio in profitable niche markets. 3DP is primed to become a reputable supplier of high quality coloured moulded paper packaging. I am pleased with the progress we are making and confident that the Group will perform in line with the Board's expectations for the year.”
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CHAIRMAN'S STATEMENT

The decision of the United Kingdom to leave the European Union on 23rd June
2016 will have fundamental economic consequences which as yet are difficult to
predict. In the short term, there has been a period of extreme market
volatility.

This is not apparent in the performance of the FTSE All-Share Index which shows
a rise of 2.1% for the first six months. However, since the vote to leave there
has been a significant divergence in performance with the leading company
prices rising while the rest of the UK market has fallen.

The net asset value has risen by 2.4% to 1582.3p at the end of the period.

The capital restructuring was successfully completed in June and the interim
dividend is 10p per share in accordance with the previous indication.

The economy is now faced with a period of uncertainty and market volatility is
likely to continue. …

The Board expects sales for H1 2016 to be approximately GBP25.9 million (H1 2015: GBP56.5 million) and to report an operating loss* of GBP0.9 million (H1 2015: GBP9.0m operating profit*). Due to stronger than expected trading in June 2016, the operating loss* for H1 2016 is significantly lower than the Board's expectations as previously announced in the Company's final results on 26 April 2016.
While total sales in H1 2016 were GBP30.6m lower than in H1 2015, sales into France in H1 2016 declined by GBP33.7m compared to H1 2015, which was partially offset by growth in UK sales and at Pace Sensors.
Net cash at 30 June 2016 of GBP14.7 million (2015: GBP28.9 million) was adversely impacted mainly by the H1 2016 operating loss* and the GBP7.0m payment for buffer stock acquired in Q4 2015. Sprue remains debt free (30 June 2015: nil debt).
The Board is pleased to announce that at the time of the announcement of the interim results for the six months ended 30 June 2016, it intends to declare a maintained interim dividend of 2.5 pence per share. …

Accrol Group Holdings plc (the “Company” or “Accrol”)
Audited full year results for the year ended 30 April 2016
Accrol Group Holdings plc, the AIM listed leading independent tissue converter, today announces its audited results for the financial year ended 30 April 2016.
Financial Highlights(1) — Revenue increased 17% to GBP118m (2015: GBP101m)
— Adjusted Gross Margin increased 2.1% to 28.1% (2015: 26.0%)
— Adjusted EBITDA of GBP15.0m, up 22% (2015: GBP12.3m)
— Continued strong cash generation year-on-year
— Net debt reduced by GBP1.1m
— Successful IPO on London Stock Exchange's AIM market on 10 June 2016

Operational Highlights(1)
— 35% market share of the Discount sector (Discounters accounting for 69% of revenues, up 6% on 2015) after contract wins during the year
— 15% increase in sales to Multiples
— Focus on Private Label products which are taking market share from Brands
— Continued investment in machinery with GBP3.2m invested in two high-speed converting lines
— Capacity increased to 118,000 tonnes with a further 25,000 tonnes to be added
— UK exclusivity secured for a new luxury tissue, NTT (New Textured Tissue)

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John Nichols, Non-Executive Chairman, said:

“The Board is pleased with the Group's strong performance in the first half of the year, with UK sales growth continuing to outperform the market. Group revenue increased by 3.3% and Group profit increased by 9%, which reflects the strengths of the Group's business model. As a result of this performance and our confidence in the outlook for Nichols, we are pleased to recommend an interim dividend of 9.0 pence per share which represents a 12.5% increase compared to the prior year.”…

“Our first half results further demonstrate the progress we have made in the transformation of Unilever to deliver consistent, competitive, profitable and responsible growth. Despite a challenging environment with slower global economic growth and intensifying geopolitical instability, we have again grown profitably in our markets, competitively and driven by strong innovations.

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Dunelm Group plc (“Dunelm” or “the Group”), the UK's leading homewares retailer, reports the following trading update for the final quarter and for the financial year ended 2(nd) July 2016.
Revenue
Total revenue for the fourth quarter grew by 1.8% to GBP203.8m. Total like-for-like (LFL) growth (combining LFL stores and Home Delivery) decreased by 0.6%, although this was adversely impacted by a combination of an earlier Easter and the fact that the previous financial year included a 53(rd) week. Adjusting for these calendar impacts, underlying LFL performance was +2.9% for the 13 weeks to 2(nd) July 2016. …

The revaluation of the investment property portfolio at the year end has resulted in a net valuation surplus for the year of GBP117,947,000 (2015 – GBP229,722,000). The board has recommended a final dividend of 58p per share in respect of the year ended 31 March 2016 payable on 11 November 2016 to shareholders on the register on 14 October 2016. This will make a total dividend for the year of 93p (2015 – 88p).
Earnings per share is calculated by reference to profit on ordinary activities after taxation attributable to equity holders of the parent of GBP142,900,000 (2015 – GBP227,395,000) and 16,295,357 (2015 – 16,295,357) ordinary shares being the weighted average number of ordinary shares in issue during the year.
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