Last checked at 7 Nov 2014 07:00
Zotefoams plc
("Zotefoams" or "the Company")
Interim Management Statement for the Quarter ended 30 September 2014
7 November 2014 - Zotefoams, a world leader in cellular material technology, today announces its interim management statement for the third quarter ended 30 September 2014.
Following the increase in sales in the first half, Zotefoams experienced continued sales growth in the third quarter. MuCell experienced strong growth primarily driven by equipment sales, with sales for the three months ended 30 September approaching the level achieved in the six months ended 30 June. High-Performance Product sales nearly doubled in the third quarter, compared to the same period last year, with growth driven by our ZOTEK® F fluoropolymer foams in aviation and our T-Tubes® insulation products. Against the comparative quarter in 2013, polyolefin foams delivered good volume growth in the UK and continental Europe, North America showed more modest growth while Far Eastern sales were relatively weaker following the strong performance in the first half of the year.
We continue to invest in people and processes to support our future growth expectations. Operating costs were therefore higher than in the third quarter of 2013, while raw material prices were at a similar level. The positive benefits of the sales growth were also reduced by unfavourable exchange rates. As a predominantly UK-based exporter the adverse effect of the strength of sterling on our sales and assets outweighs the benefit we receive from buying most of our raw materials in euros.
The business is trading well and we have a strong order book for the remainder of the year, consistent with statements made at our interim results of 12 August 2014. Although we are mindful of uncertainty in the economic environment, the Board remains confident of a satisfactory outcome for the current financial year and continued progress in the future.
Enquiries: | |
Zotefoams plc | 0208-664-1600 |
David Stirling, Managing Director | |
Clifford Hurst, Finance Director | |
FTI Consulting | 0203-727-1000 |
Victoria Foster Mitchell, Simon Conway |
About Zotefoams plc
Zotefoams plc (LSE - ZTF) is a world leader in cellular material technology. Using a unique manufacturing process with environmentally friendly nitrogen expansion, Zotefoams produces lightweight foams in Croydon, UK and Kentucky, USA for diverse markets worldwide through its global sales force. Zotefoams also owns and licenses patented MuCell® microcellular foam technology from a base in Massachusetts, USA to customers worldwide and sells T-Tubes® advanced insulation systems made from its patented ZOTEK® fluoropolymer foams.
www.zotefoams.com
ZOTEK® is a registered trademark of Zotefoams plc. MuCell® is a registered trademark of Trexel Inc. T-Tubes® is a registered trademark of UFP Technologies Inc.