Victrex hit by consumer electricals and oil and gas slump

LOWER demand for consumer electronics and weak oil and gas sectors are continuing to affect Lancashire-based Victrex, an innovator in high performance polymer solutions.

Interim half year results for the listed Thornton Cleveleys company to March 31 have seen revenue fall 10% to £117m (H1 2015: £130.3m).

Pre-tax profits have also taken a 13% hit – down to £47.5m (HY 2015: £53.9m). Earning per share dipped 9% to 45.5p (HY 2015: 49.8p).

Chief executive David Hummel, said: “As expected, the first half of 2016 was challenging for Victrex, with the impact of lower consumer electronics volumes and softer oil and gas.

“Encouragingly, our core business remained robust, with automotive and aerospace in growth and medical staying solid.”

Hummel said consumer electronics volumes were expected to more than double in the second half, in line with recent new from the Victrex supply chain and ahead of the build-up to new product launches.

He added: “For the medium to longer term, Victrex remains in a good position and we are excited by our opportunities.
 
“Our pipeline is strong with several potentially game-changing projects, although we are mindful that driving adoption and moving beyond early commercialisation can take time against incumbent technologies.”

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