Coral cuts dividend as profits fall
StockMarketWire.com - Coral Products' underlying pre-tax profits fell by 41.1% to £865,000 in the year to the end of April.
Revenues were up 14.5% at £21.4m but operating profits were 26.1% lower at £693,000 and pre-tax profits of £465,000 were down 38.7%.
The group declared a dividend of 0.7p per share - 30% down on 2016.
Chairman Joe Grimmond said:"We continue to invest in our Group adding new and improved capacity. This is creating greater sales opportunities and we anticipate significant sales growth over the current financial year.
"Whilst I was pleased with the increase in revenue up 14.5% to £21.4m (2016: £18.7m), the poor performance of Coral Products Mouldings led to a reduced underlying profit of £1.1m (2016: £1.6m).
"The Group continues with its strategic progress of increasing focus on value-added and innovative products, particularly in the food container, recycling, telecommunications, rail industry and automotive markets.
"We successfully introduced 90+ new automotive components in March and April.
"Our aim continues to be to build a significant plastic moulding business and we remain confident in our ability to make further progress by improving business performance and increasing our market share to drive forward financial results over the medium term.
"We look forward with confidence to an improved performance in the coming year."
At 9:38am: (LON:CRU) Coral Products PLC share price was -2.13p at 12.25p
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