Revenue flows after bathroom firm’s acquisition

BATHROOM supplier Norcros is reporting healthy growth with revenue for the half year ended September 30 up 9.3% to £118.7m compared to the prior year.

On a constant currency basis the increase was even more impressive at 12% with much of its success attributable to the Croydex business which Norcros acquired in June.

UK revenue for the first half was 9.8% higher than the prior year but excluding Croydex – a designer, manufacturer and distributor of high quality bathroom furnishings and accessories – it was only 1.8% higher than the prior year.

“Whilst the UK retail sector remained challenging, good year on year growth has been recorded in our UK trade sector which continued to benefit from new house building activity,” the Wilmslow, Cheshire-based company which employs 1,800 people said.

Meanwhile, the company’s South African business again delivered strong revenue growth in the first half of the year, 16.9% higher than the prior year on a constant currency basis and 8.4% higher on a reported basis, with self-help measures and market share gain helping offset tough market conditions.

The trading statement added: “All of our businesses continue to perform well notwithstanding the mixed market conditions and the recent weakening of the Rand.

“The improved manufacturing efficiencies have been sustained and we have made good progress in integrating the Croydex business into the Group.

“The board remains confident that the Group will continue to make progress in line with market expectations for the year to March 31 2016.”