(Alliance News) - Tristel PLC on Monday reported slow start to the third quarter sales but said it expects to increase its dividend for the year to the end of June amid confidence that demand will pick up going forward.
The manufacturer of infection prevention and contamination control products said sales in all markets in 2021 started very slowly because of the impact of Covid-19 on patient examinations. In the UK, this trend has continued through the company's third quarter to the end of March, it said.
The company noted that medical device disinfectant sales in the UK are hurt by activity levels in the NHS.
More positively, Tristel noted that surface disinfectant product sales have continued to gain market share and UK sales for this product range to end of third quarter were GBP2.3 million, 47% higher than in the same period last year. Sales of the company's 13 overseas subsidiaries and to its international distributor network have increased by 7% year-on-year.
Looking out to next financial year, Tristel said it expects demand conditions in the UK to improve significantly.
The expectation for the final dividend is 3.93 pence, giving a total of 6.55p for the year, up from 6.18p paid the year before.
"We remain very confident that sales and profits growth will resume next year and the investments that we have made in people, systems and new market registrations will lay the foundation stones for strong growth in the years ahead," Tristel said in its statement Monday.
Tristel shares were trading 16% lower in London on Monday at 566.10p each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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Tristel (TSTL)