RPC Group's long-term strategy paying off as revenues rise
RPC Group’s "Vision 2020" strategy is paying off, with the company posting a 36% increase in revenue for the first half of the year.
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RPC Group
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The FTSE 250 plastic products design and engineering company released its interim results for the six months to 30 September on Wednesday.
It showed revenue increased to £799.8 from £588.9m the previous year, as well as adjusted profit before tax, up 38% from £54.9m to £75.8m.
The company said its growth came down to its Vision 2020 strategy through both organic and acquisition-led growth.
It also said the integration with Promens is progressing well, with expected steady state cost synergies increasing to €50m (£35.3m) per annum, up from €30m.
Chief executive Pim Vervaat said the performance has been encouraging, especially considering polymer time lag and foreign exchange translation headwinds.
“The second half year has started in line with management expectations, with further trading improvements expected as polymer prices ease and additional Promens-related synergies are realised.”
RPC also posted a 5.2p interim dividend, up from 4.4p last year.
Shares in the company were up 28.5p (4.19%) to 709.5p per share at 0852 GMT.