Croda doubles H1 pre-tax profit

27th Jul 2010 07:57

Record results at its two main divisions helped speciality chemicals supplier Croda double half year pre-tax profit, with strong trading trickling into the first weeks of the second half. Pre-tax profit surged to £96.2m in the six months to 30 June 2010 from £46.3m the year before. Sales on continuing operations rose 27.6% to £516.1m.All business areas and geographies contributed to the increased profits but record results in its Consumer Care and Industrial Specialities stood out. Croda said it remains confident of making further profit progress throughout the rest of the year despite rising raw material prices. Chairman Martin Flower commented, "The group is now benefiting in full from the acquisition of Uniqema in 2006 as well as from the initiatives taken to reduce costs. Whilst prior year comparatives do get tougher in the second half, we expect to make further profit progress throughout the rest of the year." Net debt was reduced by a further £18.8m to £269.7m.The interim dividend has been increased by 50% to 9.75p.