International Greetings shrugs off challenging markets

Gift wrap and stationery supplier International Greetings reported a 6%increase in half year sales and said significant opportunities across its markets gives makes it optimistic for the future.

Sales in the half-year to 30 September rose to £110.3m from £104.5m in 2010. Profit from continuing operations before tax was flat at £2.1m. Profit before tax and exceptional surged 50% to £3.2m. Operating profit before exceptional costs rose 38% to £5.2m.

"In these difficult trading markets around the world, we have delivered results in line with our expectations in the first half," the firm said in a company statement.

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International Greetings said its debt reduction programme remains on track.

Chief executive Paul Fineman said, "We have achieved sales and profit growth despite the challenging market conditions and have continued to enjoy significant business with value and mass market retailers across the globe. This has included growth in Everyday greetings card activities, which is an exciting new growth area for the group."

The group said positive momentum continued in the US with opportunities across all market segments while the relocation of manufacturing facilities in China is on track.

Fineman added, "Having completed the Christmas season manufacturing in China, we have instigated our plans for the relocation of our facilities in good time to meet future production deadlines whilst maintaining our competitive position."

"We have continued to benefit from streamlining processes throughout the group, including our Board structure. These measures optimise our competitive position and increase our efficiency and future ability to generate profit growth."

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