Warpaint First-Half Profit Slips After IPO But Revenue Grows

LONDON (Alliance News) - Warpaint London PLC on Thursday reported lower profit in the first ...

Alliance News 14 September, 2017 | 9:20AM
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LONDON (Alliance News) - Warpaint London PLC on Thursday reported lower profit in the first half of 2017 following its initial public offering and listing on London's AIM market at the end of 2016, but revenue rose and it said it has achieved record Christmas orders.

The cosmetics manufacturer said pretax profit in the six months ended June 30 slipped to GBP2.9 million from GBP3.1 million, as administrative expenses increased in relation to its admission to AIM late last year.

Revenue, however, rose to GBP13.3 million from GBP12.8 million, with 19% growth in the US, 6% growth in Europe, a 22% increase in the Rest of the World and a 3% rise in the UK.

Warpaint said trading conditions in the UK were challenging in the second quarter due to the general election and terrorist attacks, but noted it has seen improved conditions in the third quarter and has secured a record order book for Christmas deliveries. This will result in revenue being more weighted to the second half of the year than in previous years.

Warpaint will pay an interim dividend of 1.4 pence.

"With our strong Christmas orders, which are significantly ahead of last year, we are well positioned and confident that we can deliver improving shareholder returns through increased organic growth and improved margins," Warpaint said.

"We remain confident of the opportunities in front of us and look forward to growth in both sales and profits in the second half of 2017," joint chief executives Sam Bazini and Eoin Macleod said.

Shares in Warpaint were trading down 12% to 180.50 pence on Thursday.

By Karolina Kaminska; karolinakaminska@alliancenews.com; @KarolinaAllNews

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar Rating
Warpaint London PLC 196.65 GBX -0.43 -
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