PZ Cussons said trading in most of its markets was challenging, but that it was confident of a return to profitable growth in the current financial year.
In a trading update the Imperial Leather soap maker said performance for the first half of the year had been in line with management expectations.
Revenue was broadly flat, mainly as a result of difficult trading conditions in its key market Nigeria, which has been affected by social unrest as well as widespread flooding.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
However, the firm said profits had increased by around 10% compared to the year before.
This was driven in particular by an improvement in the profitability of its Australian business and a robust performance in the UK.
"The group's focus remains on new product development and further margin improvement," the statement said.
"Raw material cost trends are expected to be favourable this year and the benefits of the supply chain optimisation project are also beginning to be seen."
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
-
What does Rachel Reeves’s plan for growth mean for UK investors?Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
