February 22, 2017 / 8:13 AM / 9 months ago

Britain's McBride sees challenging H2, keeps FY outlook

Feb 22 (Reuters) - McBride Plc, a maker of own-brand household and personal care products, said it expected a challenging second half of the year, blaming uncertainty in size and timing of raw material inflation and changes to foreign exchange rates.

The company, however, maintained its full-year expectations, saying its ongoing cost-cutting and margin-improvement measures would offset the impact.

“We will work closely with customers to mitigate these (impacts) but it is likely the second half will see some lag effect between higher input prices and margin recovery,” Chief Executive Rik De Vos said in a statement.

UK companies have been facing rising raw material costs since Britain voted to leave the European Union last year, as the pound fell about 10 percent versus the Euro in the last eight months.

The company reported a 43.4 percent jump in adjusted pretax profit at 19.5 million pounds ($24.35 million) for the half year ended Dec. 31, helped by cost cuts and changes to raw material sourcing.

Revenue rose 4.8 percent to 360.6 million pounds ($450.2 million). ($1 = 0.8010 pounds) (Reporting by Abhijith Ganapavaram in Bengaluru; Editing by Gopakumar Warrier)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below