Despite the high price of raw materials, product re-sourcing and modest pricing help boost profit for Latchways
Latchways has announced a 38% increase in pre-tax profits to £6.20m. The safety system manufacturer also reported profit growth in all parts of its business for the year ending 31 March 2006.
Commenting on the results, company chairman, Paul Hearson said: "All areas of the business have contributed to a significant increase in group profits."
Revenue was up 25% to £28.1m, final dividend was increased by 35% to 9.80p per share, and the group reported significant improvements in operating profit, up 34% to £6.2m.
Hearson added: "The ongoing improvements in the legislative environment in both the UK and Europe have continued to drive our business. The success of both the HCL businesses and the Wingrip product line since their acquisition has demonstrated the value of niche add-ons which provide synergies with our existing offering."
While he admitted that the high price of raw materials, especially stainless steel, continues to affect the company's product costs, they have been offset through a mix of product re-sourcing and modest price increases.