Better than expected performance at manufacturer as strategic plans bear fruit

High-precision plastics components provider, Carclo, says its trading performance exceeded previous expectations during the second half year of FY 2024.

In an update on trading for the financial year ended 31 March 2024, the Ossett-headquartered company said this success was achieved by focusing on margin improvement and restructuring work undertaken in Europe and started in the US.

Cash generation was stronger than Board expectations. The business’s closing cash position was £6m, with an undrawn revolving credit facility of £3.2m, giving total cash availability of £9.2m. This compares to £10.4m, on the same basis, at the end of FY 2023.

Group net debt was £30.4m (FY 2023 £34.3m) and Carclo achieved covenant compliance throughout FY 2024.

Carclo says its Technical Plastics (CTP) division maintained a strong performance during the period, and has skilfully navigated external pressures.

And its Aerospace division has enjoyed significant success in South Asian markets, along with consistent improvements in traditional markets.

Looking ahead, the business says it is planning investments to diversify the product range at both its operational sites.

It explains: “This initiative is designed to capitalise on evolving market dynamics within the aerospace industry, ensuring that Carclo stays at the forefront of technological advancements and market demand.”