StockMarketWire.com - PVC products manufacturer Eurocell reported a 31% fall in first-half sales, but signaled signs of improvement since re-opening as sales rebounded stronger than expected.

The re-opening process had gone well, the company said, with sales exceeding its expectations, particularly in the branch network. 'We believe we are taking market share, and whilst we have not been open long, gross margins are good across the business,' it added.

Sales for June 2020 were £25m, which is 6% up on June 2019, though this did include the benefit of two extra trading days compared with last year.

Despite the uptick in June, sales for the first half of the year fell by a nearly a third.

Group sales for the 6 months ended 30 June 2020, which included the period from late-March to mid-May when the business was closed, fell 31% to £94m on-year.

'By the end of June, our extrusion operation was running at June 2019 levels. Eurocell Recycle North (Ecoplas) remains our only site still to re-open, although we expect production to recommence at the end of July, in response to the increasing demand for recycled material,' the company said.




At 8:46am: [LON:ECEL] Eurocell Plc share price was +5p at 170p



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