De La Rue lifted by banknote demand

26th Jan 2010 07:10

Healthy banknote demand has meant a strong few months for De La Rue despite tough trading conditions for its cash processing arm."Trading for the group for the period from 26 September 2009 to date has been strong, with banknote and paper volumes showing an increased run rate compared to the first half of 2009/2010 and well ahead of the comparable period last year," the banknote printer said.Cash Processing Solutions has continued to experience difficult trading conditions, whilst performance in Security Products and Identity Systems has been broadly consistent with the first half of 2009/2010, it added.The company added the trading outlook for the current year is in line with its previous expectations, but it again cautioned that the unusually strong margin mix in Currency may not be repeated.It is expected that this will be offset by productivity gains, cost reduction and improved trading in other parts of the business, it added.