StockMarketWire.com - Carclo reports a good first half performance in its manufacturing divisions, with the group as a whole trading in line with the board's expectations.

Underlying pre-tax profits for the six months to the end of September rose to £2.3m - up from £2.1m last time.

Technical Plastics increased underlying operating profits by 30.5% to £2.3 million (2013: £1.7 million) and LED Technologies benefited from a strong performance in its supercar lighting business leading to underlying operating profits 81.9% above the previous half year at £1.7 million (2013: £0.9 million)

But an impairment review of the tangible and intangible assets of CIT led to a non-cash write down of £21.3m and the group posted an operating loss of £20.1m againstg a profit of £2.4m a year ago.

Chairman Michael Derbyshire said: "The group's two main manufacturing divisions have produced excellent results in the first half of the year. With new business wins already secured both Technical Plastics and LED Technologies are expected to enjoy an even stronger second half. The increase in global medical markets and new customer wins and expanded capacity in Technical Plastics underpin the good growth prospects for this division. Investment in the Wipac facility and further programme wins will enable the LED Technologies division to exceed the previous growth expectations.

"The strategic review of the CIT business is under way and we expect to conclude this process by the end of the current financial year. We have continued to make excellent technical progress with Carclo Diagnostic Solutions' innovative Micropoc platform development."

Separately, Carclo announced that it had appointed Peel Hunt LLP as joint broker to the group with immediate effect.


At 8:54am: [LON:CAR] Carclo PLC share price was -0.62p at 85.38p



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