Coral Products trading in line with expectations

AIM-listed Coral Products, a manufacturer of injection moulded plastic products to the media industry, said that it was trading in-line win expectations while it worked towards mitigating the effects from a weak pound.

Trading in the first quarter of the financial year is in line with the company’s expectations, as sales and profits are “substantially ahead” of same period for last year despite the negative impact of the fall in the value of the pound to the dollar and euro.

Chairman Joe Grimmond said the company is working to mitigate the effects from the fall in the value of sterling, which is likely to encourage imports that will create opportunities for the company’s manufacturing operations.

He said: “Order levels and cash flow are strong and in spite of prevailing uncertainties we remain confident for the year ahead.”

Grimmond also said the merger with its subsidiary Tatra Rotalac, a manufacturer of plastic extrusions, in August is now “fully operational and is poised for further improvement”.

Shares in Coral Products rose 7.16% to 21.70p at 1250 BST.