Robinson PLC - Chesterfield, England-based plastic and paperboard packaging manufacturer - Swings to interim pretax profit following price increases. Pretax profit in six months to June stands at GBP2.8 million compared to a loss of GBP581,000 a year prior. Revenue climbs 20% to GBP25.4 million from GBP21.2 million, outpacing cost of sales, which widens by 17% to GBP20.8 million from GBP17.7 million.
"As a consequence of the cost inflation experienced in the last 18 months, we agreed substantial sales price increases with our customers in the first quarter of the year. However, following the Russian invasion of Ukraine in February, we have seen further increases in global oil and energy costs flow through to polymer resin and other raw material prices, which in turn has impacted our costs," explains Chair Alan Raleigh.
Declares 2.5 pence per share dividend, unchanged from a year ago. Says intends to pay a full year dividend of 5.5p, also unchanged from 2021.
Following a fall in resin prices, expects "substantial uncertainty and volatility" to continue in 2022 as well as "further increases in energy and reduced availability of skilled labour". Resin is a substance that can be used to create paperboards, which Robinson manufactures.
Current stock price: 77.00 pence, down 3.8% on Thursday
12-month change: down 27%
By Tom Budszus; tombudszus@alliancenews.com
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Robinson (RBN)