Robinson PLC Trading Statement (0547V)
December 09 2021 - 2:00AM
UK Regulatory
TIDMRBN
RNS Number : 0547V
Robinson PLC
09 December 2021
Robinson plc
9 December 2021
TRADING STATEMENT
Robinson plc ("Robinson" or the "Group"; stock code: RBN), the
custom manufacturer of plastic and paperboard packaging, today
issues the following trading statement, prior to the announcement
of its final results for the year ended 31 December 2021, which are
scheduled to be released on 24 March 2022.
Revenues for 2021 are anticipated to be GBP45m, which represents
a 21% increase on the prior year. Excluding the effects of the
Schela Plast business acquired in February, underlying sales are in
line with 2020 but include significantly higher resin prices passed
on. W e announced in August that we were seeing a lower-than-normal
level of demand in the third quarter due to the ongoing uncertainty
across FMCG supply networks and a varying pace of recovery from the
pandemic. This volatility has continued in the final quarter and in
some sectors, volume has deteriorated further as Brexit and
Covid-19 have impacted customer demand.
In the second half, we have seen further inflation in input
costs including secondary packaging, energy, and freight, and in
the UK specifically, limited labour availability has impacted
customer service and increased costs. In the short-term, margins
have reduced as we have been unable to immediately increase sales
prices or remove fixed production costs.
However, we have begun to seek substantial price increases from
all customers, which will start to recover margins in 2022.
Additionally, a restructuring programme was implemented in November
which will result in exceptional costs of GBP0.2m in 2021 and
annual savings of GBP0.3m in 2022.
As a result of the lower sales volumes, the directors now
anticipate that full year operating profit before exceptional costs
and amortisation of intangible assets will be in the range of
GBP1.2m - GBP1.3m. Profits in the 2022 financial year are expected
to be ahead of 2021.
Property
We previously announced that we expected to dispose of two plots
of land in 2021; completion is expected shortly on the first site,
whilst planning approval is now required for the second site which
will delay completion until the end of 2022. The gross proceeds are
now expected to be marginally in excess of the GBP3.4m previously
indicated for the two plots which have a book value of less than
GBP1m.
Subject to the necessary planning approvals, we would expect
further sales to be achieved in 2022. The intention of the Group
remains, over time, to realise the maximum value from the disposal
of surplus properties and to reinvest the proceeds in developing
our packaging business.
Robinson plc www.robinsonpackaging.com
Helene Roberts, CEO Tel: 01246 389280
Mike Cusick, Finance Director
finnCap Limited
Ed Frisby / Seamus Fricker, Corporate Tel: 020 7220 0500
Finance
Tim Redfern / Barney Hayward, ECM
About Robinson:
Being a purpose-led business, Robinson specialises in custom
packaging with technical and value-added solutions for food and
consumer product hygiene, safety, protection, and convenience;
going above and beyond to create a sustainable future for our
people and our planet. Its main activity is in injection and blow
moulded plastic packaging and rigid paperboard luxury packaging,
operating within the food and beverage, homecare, personal care and
beauty, and luxury gift sectors. Robinson provides products and
services to major players in the fast-moving consumer goods market
including McBride, Procter & Gamble, Reckitt Benckiser, SC
Johnson and Unilever.
Headquartered in Chesterfield, UK, Robinson has 3 plants in the
UK, 2 in Poland and recently acquired a plant in Denmark, Schela
Plast. Schela Plast specialises in the design and manufacture of
plastic blow moulded containers, serving a number of the major FMCG
brands in Denmark and neighbouring countries.
Robinson was formerly a family business with its origins dating
back to 1839, currently employing nearly 400 people. The Group also
has a substantial property portfolio with development
potential.
The information contained within this announcement is deemed to
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Regulations (EU No. 596/2014) which is part of UK law by virtue of
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END
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