Symphony Environmental to build on momentum

20th Sep 2011 07:07

Bio degradable plastics firm Symphony Environmental reported modest first half growth but is confident about future momentum as raw material costs fall and its pipeline gathers strength.The group, which makes refuse bags that degrade using a environmentally friendly process called oxo-biodegradation, said pre-tax profit fell to £0.21m for the six months period ended 30 June 2011 from £0.42m the same period a year earlier. Revenues eased to £3.89m from £3.91m previously.d2w additive revenues increased to £3.57m during the period from £3.39m.Commenting on the results chairman Nirj Deva said, "Symphony's trading is traditionally strongly weighted towards the second half of the financial year and our current trading and pipeline over the second half is again strong. The results for the first half reflect a period of modest growth for our additives business together with further reductions as planned in finished product sales." Gross profits reduced to £2.18m from £2.30m before. Gross profit margins reduced to 56% from 59% in 2010.Looking ahead to future trading Symphony said recent legislation in the UAE and Italy, with both banning non-biodegradable bags, highlights that governments are taking the issue of plastics in the environment seriously."With the continued and increasing momentum behind the need for environmental plastic solutions, as indicated by the various legislation changes that have taken place around the world, with our current pipeline and an anticipated decrease in raw material costs, we look forward with confidence," the group said in a company statement.---CJ