Poor half-year performance hits James Cropper

23rd Jun 2009 08:13

Paper manufacturer James Cropper turned into profit for the full year, reversing the losses seen in the first half, but figures were still below last year.Pre-tax profit for the 12-months came in at £858,000, having recovered from a loss before tax of £261,000 in the first half. But the figure was lower than last year's profit of £1.5m. Turnover rose 3% to £74.8m. The group said first half loss arose as a consequence of the severe impact of rising energy and pulp costs on James Cropper Speciality Papers. In the second half, Speciality Papers made significant progress in reducing its first half losses. Technical Fibre Products Limited traded strongly throughout the year and recorded its highest profit to date.Total dividend was 5.1p compared to 7.3p in 2008. "The Board is disappointed to have had to reduce the dividend as a consequence of the first half loss and the current global economic climate. However it is the Board's intention to reward the loyalty of shareholders by resuming its progressive dividend policy as soon as circumstances allow," said the group.