Building materials supplier Ensor posted a 31% rise in half year operating profit, upped its dividend payment 57% but said while the second half has started well, it remains cautious about future trading as economic turmoil in Europe continues.
Operating profit rose to £607,000 in the six months ended 30 September from £463,000 the year before. Pre-tax profit rose to £549,000 from £404,000 the previous year. Revenue increased to £11.1m from £10.8m.
Earnings per share have increased by 27% to 1.4p.
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
Margin improvements were made at its door and security companies after it introduced new profitable products at higher prices. Volumes at the packaging division increased and links with its China office helped to offset polythene price increases during the year.
Its building products division also improved due to better margins on targeted products in new markets. Ensor said it has continued robust control of costs across all areas of its business.
"Although the second half of the year has started well, there are concerns about the political and economic turmoil in Europe. This region provides many trading opportunities for us and so we must therefore remain cautious with our outlook for the rest of the year," Ensor said in a company statement.
Ensor declared an interim dividend of 0.275p per share, up from 0.175p last year.
The group also said it is looking at a number of acquisition opportunities.
"It is our intention to ensure that any business that joins the group will strengthen our position within our core activities."
--
cj
-
Ticket scam warning ahead of major summer eventsA total of £6.7 million was lost to ticket scams last year. With the Taylor Swift Eras tour and Glastonbury Festival coming up, we explain how to stay safe when buying tickets
-
GDP: UK economy exits recessionThe latest GDP figures reveal the UK economy grew by 0.6% in the first three months of the year, officially exiting recession. We look at what households and investors can expect next.
