Currency fluctuations depress PZ Cussons’ profits

PZ CUSSONS, the company behind popular household brands such as Imperial Leather, Carex and St Tropez, expects last year’s pre-tax profits to be up 6%.

In a trading update for the year to March, the Manchester group said this had been achieved despite taking a hit of £12m on currency fluctuations.

Excluding this, the groups said profits would have been up by 17%.

The business said: “The financial position of the group remains strong with good cash generation and only a small net debt position at the year end.”

It added: “Whilst trading conditions in most markets remain challenging, the group remains focused on a dynamic and fast brand renovation and innovation programme, an ongoing cost reduction programme and successful delivery of new areas of growth such as Rafferty’s Garden and the Wilmar joint venture.

“These initiatives will help to offset the continuing macro challenges and the reduction in profits from Poland as a result of the homecare sale. The Group’s balance sheet remains strong and well placed to pursue new areas of growth.”