Zotefoams blowing profit bubble

The foam products maker, Zotefoams, says a strong order book and significant cash in the bank should lead to a strong 2012.

Its full year 2011 results show that profit before tax increased by 16% to £5.47m (2010: £4.70m excluding exceptional items), a doubling in the last 5 years.

By the end of December net funds were £1.92m, compared to £1.86m at the end of 2010.

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Sales increased by 11% to £44.21m (2010: £39.88m), while like-for-like sales increased by 9% driven by strong volume growth in North America and Europe.

Zotefoams' shares had gained 6.7% by 11:07am. The stock is 22% ahead of its value at the beginning of 2011.

BS