Strong first half for Fenner, shares jump

Polymers firm Fenner has reported a strong trading period for the six months ended February 29th 2012, with operating profit for the half year 'significantly' ahead of the comparable period last year.

The firm experienced positive trading conditions, supported by steadily growing demand from the mineral extraction/energy sectors, and market share gains.

"Operational efficiencies that were seen in the second half of last year have driven improved margins in both the Engineered Conveyor Solutions and Advanced Engineered Products divisions," the firm said.

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"Ongoing capital investments have increased capacity for strategically important medical textile, and oil and gas products. Expenditure has also been committed to create additional capacity and capability for conveyor belt used in mineral extraction."

Net borrowings, after acquisition payments, seasonal outflows and investments to support growth, are in line with the firm's expectations, while healthy order book levels support its expectation of continued positive trading.

Shares had jumped nearly 8% in early trading on Thursday.

NR