Carclo dips as profits fall during “disappointing” year of trading

The plastics manufacturer warned investors earlier this year that profits would be “significantly” lower due to contract delays and operational inefficiencies

injection mould machine
Carclo’s plastic components are often used in medical products

Shares in Carclo PLC (LON:CAR) edged lower on Tuesday after the plastic components manufacturer reported a dive in profits during a “disappointing” year of trading.

A profit warning back in January helped to prepare investors, with Carclo stating at the time that unexpected delays in securing big contracts in its Technical Plastics and Wipac units would negatively affect results.

READ: Carclo plummets on profit warning

For the 12 months through to March 31, the Yorkshire-based group posted a 6% rise in revenues to £146.2mln (2017: £138.2mln).

But pre-tax profits fell by almost a fifth to £9.9mln (2017: £12.0mln), with Carclo also blaming “some weaknesses in operational performance” for the dip.

“While the year has been disappointing, the board remains confident in the underlying strength of the group and its people to recapture the momentum of recent years and to drive significant value for our shareholders in the future,” said chairman Michael Derbyshire, who is to retire next month.

He added: “The group has taken immediate action to improve operational performance and following a full operational review has implemented a significant number of improvements across its operations.”

Shares fell 3.8% to 86.2p on Tuesday.

Quick facts: Carclo

Price: £0.11

Market: LSE
Market Cap: £7.86 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...



Full interview: Northern Minerals reveals talks with US government agencies,...

Northern Minerals Ltd (ASX:NTU) CEO George Bauk tells Proactive he recently met US government agencies, who he says wanted to get a better sense of the Australian company's progress with its dysprosium production, and its strategy going forward. Bauk is currently in New York meeting with...

1 day, 20 hours ago

2 min read