Victrex sees volumes improve after de-stocking issues

Plastics firm Victrex says that sales volumes "came back strongly" following the de-stocking it saw from customers of its Victrex Polymer Solutions business (VPS) in the first quarter (October to December).

Group sales volumes were 288 tonnes in January, up from 265 tonnes in the same month last year. Volumes for the first four months of the year were 870 tonnes.

However, when accounting for the first quarter alone, volumes stood at 582 tonnes, some 100 tonnes short of the previous year.

Try 6 free issues of MoneyWeek today

Get unparalleled financial insight, analysis and expert opinion you can profit from.

Start your trial

Sign up for MoneyWeek’s free twice-daily newsletter.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Sign up

The recovery follows the warning (in its outlook with its full-year results in December) that it had seen some softening in parts of VPS, particularly in Europe, as customers cautiously manage investors ahead of the calendar year end.

"We remain mindful of the continuing economic uncertainty and the impact it may have on VPS sales volume for the full year," said Chairman Anita Frew. "However, the current order book for February and new business development activity are encouraging."

Meanwhile, the group's Invibio Biomaterial Solutions business is said to have made a solid start to the year.

"Our capacity expansion plans are on track and we continue to invest in new application development and technical leadership to ensure we capitalise on the growth potential for our business," Frew said.

BC