Churchill China plc (AIM: CHH), the manufacturer of innovative performance ceramic products serving hospitality markets worldwide, is pleased to announce its interim results for the six months ended 30 June 2019.
Key Highlights:
Financial
- Operating profit before exceptional items up 30% to £4.2m (2018 H1: £3.3m)
o including contribution of £0.2m from acquisition of Furlong Mills - Profit before exceptional items and tax up 27% to £4.2m (2018 H1: £3.3m)
- Reported profit before tax after exceptional items £4.3m (2018 H1: £3.3m)
- Adjusted earnings per share up 24% to 30.4p (2018 H1: 24.4p)
- Basic earnings per share 31.3p (2018 H1: 24.4p)
- Interim dividend up 18% to 10.3p (2018 H1: 8.7p)
- Cash generated from operations £2.4m (2018 H1: £1.7m)
Business
- Total revenues up 17% at £31.9m (2018 H1: £27.2m)
– including £2.0m from acquisition of Furlong Mills - Ceramics (like for like) revenue growth 10% (2018 H1: 6%)
- Export revenues up 13%
- Increased sales of Hospitality added value product
- Higher levels of investment in capital expenditure, acquisition of controlling interest in Furlong Mills and purchase of products and brand from Dudson
- Performance continues long term growth trend
Alan McWalter, Chairman of Churchill China, commented:
“Churchill has been substantially re-positioned as a business over the past five years. We have emphasised the development of differentiated high margin products in Hospitality and exited from markets where we did not have a competitive advantage. We believe we offer a technical performance product to attractive markets worldwide with a high level of service. We have a well invested business supported by a strong balance sheet.”
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