Plastic manufacturing firm Robinson is ‘seeking substantial price increases from all customers’
Plastic manufacturer Robinson is “seeking substantial price increases from all customers” due to soaring input costs.
The Chesterfield-based company took in £46m in the last 12 months, up from £37m in 2020, but its operating profit fell 56 per cent to £1.2m, from £2.7m.
The company, which made a loss before tax of just £100,000, an improvement on the first year of the pandemic which was up at £1.8m; reported net debt of more than £13m however, owing to higher spending and the acquisition of Danish firm, Schela Plast.
The figures came amid “very challenging conditions” throughout last year, as it battled inflation, rising demand from consumers and “substantial uncertainty and volatility” due to Covid’s impact.
Rising inflation in the UK and the Russian war against Ukraine has also forced the price of raw materials up.
Robinson’s chairman Alan Raleigh said the circumstances are “likely to continue through 2022, with further inflation in input costs anticipated”, and as a result the firm is “seeking substantial price increases from all customers, which will support the improvement of margins in 2022.”
Reflecting on Moscow’s war in Ukraine which he said while “we cannot foresee or fully quantify the impact, we are closely monitoring the situation, we will drive profitability, conserve cash and respond as necessary across our geographical locations.”