Dyson cost cutting pays off

SHEFFIELD-based high-tech materials specialist Dyson said today it has been hit by high energy costs and lower sales, but had raised prices and benefited from a cost reduction programme which has boosted overall performance.

In an interim management statement from April 1 to August 21 2008 Dyson said overall performance for the group in terms of pre-tax profits and debt levels for the year-to-date had been “satisfactory”.

Sales from the Thermal Technologies division have increased about 12% since April 1 compared with the previous year.

Performance Materials sales have fallen about 6% due to lower automotive Ecoflex sales.

The group said that despite the fall the “longer-term outlook in this area continues to be encouraging.”

The Distribution division has been affected by the downturn in the housing market with sales since April 14% lower than the previous year.

Chief executive Patrick Lammers said: “The restructuring of the group following our strategic review announced in June is progressing well with significant changes already being successfully implemented.”