Partner Article

PZ Cussons profits up 13%

Imperial Leather brand-owners, PZ Cussons, have posted operating profit growth of 13% in its half year results, driven by an improved performance in Australian markets.

The company, which also has a presence in Europe, Asia and Africa, said a “robust” set of UK results also bolstered the group’s figures.

Carex soap, Original Source and Imperial Leather all fared well in the UK market, and the company said its new Mum & Me brand had taken off well.

Profits before tax rose by 9.7% from £40.2m in 2011 to £44.1m in the 6 months up to the end of November 2012.

Unrest in the North of Nigeria had a slight impact on revenue and profits, whilst economic turmoil in Greece also lower profitability.

Strong performance in Poland and the rest of the business, however, meant PZ Cussons could announce a higher interim dividend, up 5.4% to 2.53 pence.

Richard Harvey, PZ Cussons’ chair, commented: “Our overall performance since the period end has been in line with expectations.

“Whilst trading conditions in most markets are challenging we remain confident of a return to profitable growth for the full year, with the range of potential outcomes being largely dependent on trading in our largest market Nigeria during its peak season over the coming months.”

“Our focus continues to be on innovation and brand development, as illustrated by the successful launch of the new brand Cussons Mum & Me into the UK marketplace. At the same time our supply chain optimisation project is ensuring that our cost base is being further reduced.

“Construction of the palm oil refinery in Nigeria with our partner Wilmar has recently been completed and this exciting new venture will begin to operate in the second half.

“Our balance sheet remains strong and we have the appetite to pursue further investment opportunities which fit our strategic aims.”

This was posted in Bdaily's Members' News section by Miranda Dobson .