Norcros taps into Ireland and South Africa for growth
BATHROOM accessories and tile manufacturer Norcros has reported increased revenue in line with expectations in its latest trading update.
The company – which owns Nuneaton-based shower firm Triton and Stoke’s Johnson Tiles – said group revenue for the year ended March 31 was expected to be in the region of £221m (2014: 218.7m).
Revenue growth in both its UK and South Africa segments was stronger in the second half of the year compared to the first half.
UK turnover was 0.7% higher than 2014 with the company benefiting from new house building activity and a strong performance in Ireland, which offset a challenging outcome in the home retail sector.
The Cheshire-headquartered firm’s South African business again delivered double digit constant currency growth in the second half of the year, resulting in full year revenue growth of 15.0% on a constant currency basis and 3.1% on a reported basis.
During the second half the South African Rand stabilised compared to the prior year, resulting in a strong performance from the South African business on a reported basis with revenue growth of 14.6%.
Closing net debt is expected to be below market expectations at around £15m (2014: £26.9m). This includes the £6.5m proceeds from the sale of surplus freehold properties completed on March 2.
