Financial Highlights
– Revenue grew 7.5% to £145.6m (2016: £135.4m); 1.6% at constant exchange rates
– Trading profit* increased 31.5% to £16.7m (2016: £12.7m); 21.9% at constant exchange rates
– Trading profit* margins further improved to 11.5% (2016: 9.4%)
– Operating profit increased 71.6% to £16.3m (2016: £9.5m)
– Adjusted profit before tax** improved 33.1% to £16.1m (2016: £12.1m)
– Adjusted earnings per share*** increased 29.7% to 8.3p (2016: 6.4p)
– Basic earnings per share of 7.5p (2016: 4.5p)
– Net debt of £3.2m (March 2017: £16.1m) after paying US$10.2m (£7.6m) for the acquisition of Markel Industries
Operational Highlights
Healthcare highlights:-
– Revenue increased 7.9% to £57.7m; 2.1% at constant exchange rates
– Trading profit increased 22.4% to £9.3m; 16.3% at constant exchange rates
– Margins increased 1.9% to 16.1%
– EuroMed performing ahead of expectation
– Revenue impacted by a now resolved customer product issue
– Renewed three contracts with key OEMs
– Agreement of first asset/technology transfer from a wound care company
Industrial highlights:-
– Revenue increased 7.3% to £87.9m; 1.3% at constant exchange rates
– Trading profit increased 32.9% to £10.1m; 23.2% at constant exchange rates
– Margins increased 2.2% to 11.5%
– Sale of Swiss land and buildings completed, achieving sale proceeds of CHF17.1m (£13.6m)
– Korean production ceased in August 2017 as planned
– Acquired Markel Industries, a manufacturer of adhesive floor mats, in August 2017 for US$10.2m (£7.6m)
Commenting on the results Chief Executive, Heejae Chae said:
“Scapa has delivered a strong first half performance with growth in revenue, trading profit and margins. There are further significant opportunities for both business units to improve both sales and margin performance through rigorous execution of the strategy, in both the short and longer term. The Board remains confident of achieving the improved full year expectations outlined in the Group's October trading update.“