- Product and services company CPPGroup reported a sharp fall in profits as revenues growth was more than offset by a surge in costs related to investments and restructuring activities.

For 2018, profit before tax fell to £0.3m from £3.8m a year earlier and revenue grew 13% to £110.1m.

Profits were hurt by exceptional costs of £3.5m in relation to restructuring activities in Europe and the UK. This action had streamlined operations and was expected to generate annual cost savings of between £4.0m and £4.5m, the company said.

Costs were also led higher by increased investment in business of £2.5m for the year from, up 168% from £0.9m a year earlier. While currency depreciation in our growth markets, notably India and Turkey, also adversely impacted results, the company said.

'2018 has been a year of continued strong progress for the business. We have stayed true to the core principles of our strategy and have delivered strong revenue growth and fundamentally shifted the dynamics of the business' said Jason Walsh, Chief Executive Officer.

'We are growing strongly in India and Turkey and are excited about our recent launch into Bangladesh and the prospects for our Chinese business now the technical infrastructure is complete.'

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