On the back of a positive trading update Yule Catto has announced it is to change its name to Synthomer.
The FTSE-250 specialty polymer business said that expectations remain unchanged from those stated at the half year: "Full year underlying profit before tax is expected to be ahead of 2011 pro-forma of £96m."
In Europe and North America, profit to date remains well ahead of prior year, due to improved margins. This has been achieved despite year to date volumes dropping 10%, due to falling demand from construction, and an adverse translation impact of £4.5m in the first nine months of the year due to the weaker euro.
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In Asia and the rest of the world, the non-nitrile businesses continued the positive momentum achieved in the first half. Its Nitrile business is trading in line with the guidance provided at the date of its interim results.
It continues to make "strong progress with synergy delivery from the PolymerLatex acquisition", and remain firmly on track to realise £19m of synergies in the current year, a year on year improvement of £16m. It expects to deliver the total £25m of targeted annual synergies by March 2013.
The company also cut net debt at the end of September to £160m, down from £174m at the half year mark.
The reason for the name change to Synthomer appears to be simply a practical one, in that it trades under that name across the majority of its product lines.
CM
