McBride sees revenue slip 5%

HOUSEHOLD and personal care products manufacturer McBride has seen sales slip due to weak consumer demand.

In an interim management statement covering January 1 to May 8, the group said revenue was down 5% on last year.

There was growth of 1% in private label goods and the company’s “core” categories grew 3%. But contract manufacturing declined 29%, mainly due to the wind-down of this division.

The listed group has one of its largest production sites in Middleton, Manchester, as well as sites in Barrow, Bradford and Hull.

It said revenue, margin performance and the competitive environment of the group since the trading update of in March have been in line with the board’s expectations.
 
Net debt at the end of June is expected to be higher than previously forecast at around £90m as a consequence of currency movements and a temporary increase in working capital.
 
Chief executive Chris Bull said: “Our market outlook remains challenging, with weak consumer demand in Western continental Europe and ongoing branded promotional activity in UK. Despite this, our private label revenue has seen improving growth through the half driven by our programme of product launches and a continued strong performance in Central and Eastern Europe.”