“Transformational” year for Straight

STRAIGHT, the recycling products manufacturer, today said it has seen a “transformational” year as it returned to profit.

The Leeds-based group announced a rise in underlying operating profit to £0.82m, compared to a loss of £0.24m in 2012, as it announced its final results for the year ended December 31 2013 this morning. Group EBITDA increased to £1.99m from £0.75m.

Revenue dropped slightly to £26.10m from £27.82m, which the group said was primarily due to the disposal of the DIY business sold in May, and pre-tax losses shrunk to £133,000 from a £1.6m loss in the previous year.

Straight said the loss making position in 2012 has been reversed with “excellent factory productivity boosting margins and substantially increasing profits”.

Chairman James Newman said 2014 has started well with a strong order book already in place.

“2013 has seen a significant improvement in the trading performance of the group, which has maintained its market leading position,” he said.
 
“The board is confident that it will be able to deliver further profitable growth over the coming year.”
 
Chief executive, Jonathan Straight, said: “At the end of 2012 I said that the foundations of recovery had been laid. At the end of 2013 it was apparent that this statement has proved to correct as a significant improvement has been delivered. The considerable momentum created through two years of restructuring is carrying us forward with confidence.”

In February, Straight announced it had received an approach from One51, an Irish company with interests in plastic moulded products and waste containers, to acquire the business. Straight said it expects to make a further announcement on the progress of this transaction in the near future. 

 

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