Last checked at 8 Feb 2010 07:00
For immediate release 8 February 2010
Plastics Capital plc
(the "Company" or the "Group")
Trading Update
Plastics Capital plc (AIM: PLA), the acquisitive niche plastics products group, is pleased to announce that trading continues to show improvement and currently expects performance for the full year to 31 March 2010 to be in line with market expectations.
All businesses are trading profitably and have encouraging potential for profitable growth as the global economy emerges from recession. Margins remain satisfactory and cash flow is strong with debt being reduced in line with expectations.
The Group continues to make good progress, with business development activity remaining a key feature for all our companies. In particular:
·; Our plastic ball bearing business ("BNL") and our hose mandrel business ("Bell") have recently set up representation in China, to promote sales to potential local customers, of which many have been identified.
·; Our creasing matrix business ("C&T") has reached agreement with a leading distributor of box-making and printing consumables to distribute its matrices and ejection rubbers, providing a significant opportunity for sales growth over the next few years.
·; Our specialist film packaging business ("Palagan") has achieved BRC accreditation, thereby opening up sales opportunities with the food industry customers, which is a substantial sector for this business.
Commenting, Faisal Rahmatallah, Executive Chairman, said:
"We have some excellent organic growth opportunities in all our businesses. We believe that the strength of the Group, together with the ongoing economic recovery and Sterling weakness, positions us well for the future."
Plastics Capital plc Tel: 020 7326 8423
Faisal Rahmatallah, Executive Chairman
Nick Ball, Finance Director
Cenkos Securities Tel: 020 7397 8900
Stephen Keys
Beth McKiernan
Buchanan Communications Tel: 020 7466 5000
Richard Darby
Christian Goodbody
Notes to Editors
Plastics Capital is a consolidator of plastics products manufacturers focused on proprietary products for niche markets. The Group has four factories in the UK, one in Thailand and sales offices in the USA and Japan. Approximately 50 per cent of sales are exported to over 70 countries worldwide. Production is concentrated in the UK where significant engineering know-how and automation underpins the Group's competitiveness. The Group has approximately 285 employees.
Further information can be found on www.plasticscapital.com