Chapelthorpe manufactures profits
CHAPELTHORPE, the specialist fibre manufacturer, today proposed to recommence dividend payments after posting annual profits.
The company, which is based in Drighlington between Bradford and Leeds, saw pre-tax profits for the year to March 31 increase to £700,000 from a £3.3m loss last year.
Earnings before interest, tax, dpereciation and amortisation before exceptionals were up £2.6m to £5.4m from £2.8m.
Operating profit before exceptionals was £2.2m compared to a loss of £100,000 in 2009.
Chapelthorpe said it had achieved strong margin improvement thanks to improvements in trading in Europe and strong market share gains in filament yarns in the US and was optimistic about the financial year ahead.
Chairman Leslie Goodman said: “In a difficult economic climate we have delivered a significantly improved financial performance with all of our businesses continuing to be profitable and cash generative.
“For the first time for six years we are showing a significant pre-tax profit and this has allowed us to state our intention to recommence payment of a dividend in respect of the current financial year.”
Net debt has been reduced to £3.4m from £6.7m and the company intents to recommence dividend payments next February. 2011.
Mr Goodman added that the company’s strategy was to maintain and develop the leading market positions of its fibres businesses by expanding its portfolio of niche high value added technical products and increasing its products coverage into emerging markets.
