EUROPE’S biggest maker of own-brand household and personal care goods McBride said it faced rising raw material costs and weak retail markets as it met forecasts with a 38 per cent rise in annual profit.
The group said yesterday it was better placed to cope with challenging conditions than in the past, and that recent trading was in line with expectations. The firm has agreed to buy an initial 70 per cent interest in Dermacol, a privately owned, Czech-based manufacturer of skincare products for an expected £8m. It will buy the rest in 2017 in an incentive deal with the current management team.
The full-year dividend was lifted 13 per cent to 6.8p a share, while net debt was cut £22.4m to £60m.
“Although weak retail markets and raw material inflation will remain challenging in the short term, our balance sheet remains strong,” McBride chief executive Chris Bull said.