Last checked at 16 Jan 2024 07:00
16 January 2024
McBride plc
Trading Update
Continuing shift to private label value supporting good trading activity.Financial performance slightly ahead of our expectations.
McBride plc (the "Group"), the leading European manufacturer and supplier of private label and contract manufactured products for the domestic household and professional cleaning and hygiene markets, today provides a trading update for the six months ended 31 December 2023 ("the Period").
The Group expects to report first half adjusted operating profit slightly ahead of our expectations.
Group revenue was 9.9% higher than the prior year on a constant currency basis, benefitting from both volume growth and the impact of pricing actions in the last financial year to recover input cost inflation. Overall volumes in the Period were 6.4% higher, driven by continuing momentum in private label (private label volumes grew by 10.1%) as consumers continue to mitigate cost of living pressures.
While input costs have generally stabilised, energy, employment and financing costs continue to apply inflationary pressures. Additionally, the Group continues to manage significant supply chain volatility.
The Group's focus on reducing debt and maintaining tight control of costs resulted in net debt closing the Period at £145.7m (30 June 2023: £166.5m), with liquidity at £85.0m (30 June 2023: £59.3m), comfortably above the minimum requirement per the banking covenant. The Group continues to anticipate that net debt / adjusted EBITDA will be close to 2x by 30 June 2024.
The Group's half-year results will be announced on 27 February 2024.
McBride plc | 0161 203 7570 |
Chris Smith, Chief Executive Officer | |
Mark Strickland, Chief Financial Officer | |
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Instinctif Partners Guy Scarborough Bryn Woodward
| 0207 457 2020 |
Note: This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulations which came into effect on 3 July 2016.