McBride plc : Trading Update

McBride PLC

Trading Update

McBride PLC, Europe's leading provider of Private Label Household and Personal Care products, provides its trading update for the six months ended 31st December 2013.

Group revenue declined by 3% at constant currency as a consequence of the previously announced wind-down in selected contract manufacturing business impacting the first half of 2013/14.

Private Label revenue growth in Central and Eastern Europe remained strong and our France and Benelux business also returned to growth.  Our business in UK has been impacted by branded promotional activity which continued throughout the first half.  Overall Group Private Label revenue grew by 0.5%.

As a consequence of the weaker performance in UK, the Board expects Adjusted Operating Profit for the first half to be around £10m.  We expect an improvement in performance in our second half given the extent of new product launches in the pipeline and cost saving initiatives underway, but this will be mitigated to some degree should the current level of branded promotional activity continue, and with demand in the UK retail sector remaining relatively weak.

Net debt at the period end will be around £85m.

The Group intends to announce its interim results for the six months ending 31st December 2013 on 11th February 2014.