Croda increases 2014 interim dividend by 1.9%

DividendMax Ltd.

Croda increases 2014 interim dividend by 1.9%

Constant Currency sales up 2.3%

·    Consumer Care up 0.3%: stronger second quarter reverses first quarter declines

·    Performance Technologies up 4.8%:  Strong underlying growth in Asia plus Sipo

·    Industrial Chemicals up 5.3% with lower underlying sales countered by the Sipo acquisition

·   Underlying sales growth in New and Protected Products (NPP) and tight control of costs sustaining margin growth in core divisions

·    NPP +8%, Differentiated +1%, Tail: -11%

·    Consumer Care return on sales increased to 32.6% (H1 2013: 31.7%)

·    Performance Technologies return on sales increased to 18.9% (H1 2013: 18.5%)

·    5 of 8 core sectors achieved their underlying sales growth target in quarter two

·   Significant impact from currency on results

·    Currency translation reduces sales by £38.3m (6.8%)

·   Currency translation and transaction costs reduce operating profit by £11.4m

·   Organisation structure change

·    Three business groups announced in May covering Personal Care, Health Care & Crop Care and Performance Technologies & Industrial Chemicals

·    Each combines sales, marketing and research resources into dedicated global teams to accelerate sales growth

·   Partnership with Par Pharmaceutical announced

·   £99.2m free cash flow generation

·   Interim dividend increased 1.7% to 29.5p

Companies mentioned