Coral Products Shares Rise As Improved Performance Brightens Outlook

LONDON (Alliance News) - Shares rose in Coral Products PLC on Monday as it said it anticipates ...

Alliance News 20 May, 2019 | 12:15PM
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LONDON (Alliance News) - Shares rose in Coral Products PLC on Monday as it said it anticipates its annual position to be not as significantly below expectations as previously warned.

Shares in the plastics firm were 13% higher at 7.35 pence on Monday.

Back in late March, Coral had said it expected its performance for the 12 months to the end of April to be "materially below" both management and market expectations.

However, the company's unaudited management accounts have suggested an improvement over the year before, with improved earnings before interest, taxes, deprecation and amortisation, operating profit and sales.

For the year ended April 2018, Coral reported Ebitda of GBP2.0 million, an operating loss of GBP186,000. On an underlying basis, Coral had an operating profit of GBP879,000.

Gross margins also have improved despite difficult trading conditions, although Coral's overall debt has increased due to higher investment, in order for the company to meet increased market demand.

During the year, Coral has developed several new products, including highway sound barriers, jars made from recycled materials and new food packaging, which are set to be introduced into production within the current financial year.

"The board remains confident in its strategy and looks forward to a year of continued improvement," the company said.

Coral Products will publish its annual results in August.

By Dayo Laniyan; dayolaniyan@alliancenews.com

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar Rating
Coral Products PLC 9.00 GBX 0.00 -
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