Record £50m revenue hike at Polypipe

REVENUES are on the up at Polypipe, increasing by just under £50m for the half year following its acquisition of a £145m manufacturer last August.

The Doncaster-based business returned £170.4m in revenues in the same period last year, but for the six month to 30 June this year, it produced £223.3m.

Pre-tax profits increased to £29.9m, up from £23.2m for the same period.

In August 2015 Polypipe acquired ventilation manufacturer Nuaire in £145m buyout from a private equity business. It says the newly-acquired business is performing well.

The company said that demand from housebuilders had bolstered results, and its regionally spread was more balanced than in previous years.

Polypipe said that it had seen “no discernible signs of weakening following the EU Referendum” but that it would proceed with caution as the full effects had not yet been felt.

David Hall, chief executive said: “We have delivered another record performance in the first half continuing the strong momentum from last year. Our strategic focus on the structural growth opportunities, together with the acquisition of our Nuaire ventilation business has accelerated our growth.

“Despite the uncertain economic backdrop, the long-term structural drivers of our business remain strong, our balanced business model means that we are not overly exposed to any particular sector and the nature of the Group’s production processes enables us to adapt and flex quickly to changes in demand.

“The board is confident that the cash generative characteristics of the business and a commitment to remain agile will enable the group to continue to develop and outperform, whatever the market conditions.”