Macfarlane group increases 2013 dividend

DividendMax Ltd.

Macfarlane group increases 2013 dividend

MACFARLANE GROUP PLC ANNUAL RESULTS FOR THE YEAR TO 31 DECEMBER 2013

 

Profit before tax and exceptional items of £5.1m (2012: £4.5m)

Group turnover of £143.9m (2012: £141.8m)

Profit before tax of £4.7m (2012: £5.5m after net exceptional credits in 2012 of £1.0m)

Net debt reduces to £5.9m (2012: £6.8m)

Pension deficit reduces to £15.9m (2012: £18.9m)

Proposed final dividend of 1.10p per share, providing full year total of 1.60p (2012 - 1.55p)

Graeme Bissett, Chairman of Macfarlane Group PLC today said: -

"Macfarlane Group increased profit before tax and exceptional items in 2013 by 13% to £5.1m. The early signs of economic recovery now visible in the UK market are welcome but should not mask the fact that 2013 was another challenging year. The real incomes of UK consumers remain below pre-recession levels though with some signs that the corner will be turned in 2014. The story on business investment is one of rising confidence and future action but with only limited progress in 2013. Against that backdrop, further growth in our profits in 2013 represents a very solid performance and one that can be built upon as conditions improve.

Our Packaging Distribution business grew operating profit before exceptional items by £0.1m to £5.0m. New business wins once more offset the impact of subdued demand. The growing impact of the internet as a retail channel is now well documented and we have developed the customer base in that sector over the last few years. We believe this sector will continue to offer good growth potential. Cost control was again a significant contributor to profit performance but we have nonetheless continued to develop new sales, marketing and fulfilment initiatives, which will bear fruit in future years.

Our Manufacturing businesses made further progress in 2013, driven by our high-quality design-led packaging manufacturing business and increased sales from our Reseal-it label range. Operating profit before exceptional items increased to £1.3m compared to £1.0m in 2012.

The commitment and abilities of the people of Macfarlane Group remains our most important asset and on behalf of the Board, I would like to thank them for all their efforts in 2013. Their skills and determination to provide the best possible service to our customers will be a key driver of future success.

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