Boss of household products firm orders company wide review amid falling profits
The new chief executive of household and cleaning products firm McBride has ordered a review of the business following a slump in profits.
The Manchester firm said in a half year report it has seen a marked slowdown revenues in last two months.
Group reported revenues were £350.4m – a fall of 5.1%.
Adjusted operating profit fell by £5.2m to £11.6m and operating profit fell to £8.5m from £15.6m.
Profit before tax was £6.6m, lower by £6.7m
During the prior financial year, the group completed the sale of the European Personal Care (PC) Liquids business.
The firm said revenue growth in South, East and Asia was offset by declines in UK, France and North.
The company is in the process of closing a site in Barrow and the sale of land and buildings at former aerosols site at Hull completed during second quarter for £3m.
Chief executive Ludwig de Mot said: “Since joining McBride in November I have visited all of our sites and met many of our people and been impressed by their commitment to making McBride a successful business.
“McBride has a strong market position but the group’s recent performance has been disappointing. Accordingly, as announced last month, I have initiated a review of the group’s strategy, organisation and operations which I expect to report on at the time of our year end results announcement in September.
“Our third quarter revenue run rates are as expected. Our revenue outlook remains in line with our expectations despite our markets remaining challenging. Material costs are tracking consistently with the first half year. The board’s expectations for the full year remain in line with our January trading update. ”
