Robinson (RBN)

Sector:

Manufacturing

Index:

FTSE AIM All-Share

 97.50p
   
  • Change Today:
      0.000p
  • 52 Week High: 110.00
  • 52 Week Low: 87.50
  • Currency: UK Pounds
  • Shares Issued: 16.75m
  • Volume: 9,969
  • Market Cap: £16.33m
  • RiskGrade: 173

Robinson warns of higher costs after solid first half

By Josh White

Date: Tuesday 18 Aug 2020

LONDON (ShareCast) - (Sharecast News) - Packaging manufacturer Robinson reported a 5% improvement in first-half revenue on Tuesday, to £17.9m, as its gross margin increased to 23.6% from 19.7% year-on-year, although it warned of a marked increase in operating costs for the full year.
The AIM-traded firm said its operating profit before the amortisation of intangible assets was 100% higher for the six months ended 30 June, at £1.6m, as its profit before tax grew to £1.1m from £0.3m.

Its board declared a second interim dividend of 2.0p per share, and reported a narrowing of net debt to £5.6m, from £6.9m at the end of December, after capital expenditure of £2.1m.

Operationally, Robinson said all of its sites continued to trade safely throughout the Covid-19 pandemic, adding that it installed six new production lines in the UK to increase its efficiency and capacity.

It also refurbished a manufacturing building in Kirkby-in-Ashfield to support its future growth ambitions.

In his statement, however, chairman Alan Raleigh warned shareholders that investments in new equipment and capabilities would lead to sizable growth in its operating costs for the full year.

"We are very happy with this continued progress in the first half, despite the challenging conditions arising from the Covid-19 pandemic," said chairman Alan Raleigh.

"The main market sectors for which we supply packaging have shown resilience throughout the pandemic, with notable increases in demand for our products used in liquid hand soap, sanitiser and household cleaning.

"All our sites have continued to trade throughout the period, operating in line with local hygiene and social distancing requirements to ensure the safety and wellbeing of our colleagues."

Raleigh said the majority of Robinson's sales and administration activities were being "very effectively" carried out by staff working from home.

"Despite the uncertain economic environment, we expect to report mid to high single digit revenue growth in the full year, whilst continuing to drive further efficiencies across all aspects of our operations in order to compete and win in the market.

"We are committed to investing in new production equipment and additional capabilities to grow the business in the second half of 2020, including developing our go-to-market approach and reinforcing our sustainability proposition."

As a result, operating costs would be "significantly higher" than the same period in 2019, Raleigh warned.

"Notwithstanding this increase and subject to any disruption to trading that may arise from the ongoing pandemic, we expect full year earnings to be slightly higher than last year and remain committed to ongoing delivery of our target of 6-8% return on sales."

At 0933 BST, shares in Robinson were down 9.09% at 120p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Robinson Market Data

Currency UK Pounds
Share Price 97.50p
Change Today 0.000p
% Change 0.00 %
52 Week High 110.00
52 Week Low 87.50
Volume 9,969
Shares Issued 16.75m
Market Cap £16.33m
RiskGrade 173

Robinson Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
71.22% above the market average71.22% above the market average71.22% above the market average71.22% above the market average71.22% above the market average
71.43% above the sector average71.43% above the sector average71.43% above the sector average71.43% above the sector average71.43% above the sector average
Price Trend
51.43% above the market average51.43% above the market average51.43% above the market average51.43% above the market average51.43% above the market average
38.46% above the sector average38.46% above the sector average38.46% above the sector average38.46% above the sector average38.46% above the sector average
Income
2.27% above the market average2.27% above the market average2.27% above the market average2.27% above the market average2.27% above the market average
9.09% above the sector average9.09% above the sector average9.09% above the sector average9.09% above the sector average9.09% above the sector average
Growth
14.47% above the market average14.47% above the market average14.47% above the market average14.47% above the market average14.47% above the market average
42.86% above the sector average42.86% above the sector average42.86% above the sector average42.86% above the sector average42.86% above the sector average

What The Brokers Say

Strong Buy 0
Buy 0
Neutral 1
Sell 0
Strong Sell 0
Total 1
neutral
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Robinson Dividends

  Latest Previous
  Final Interim
Ex-Div 06-Jun-24 21-Sep-23
Paid 21-Jun-24 13-Oct-23
Amount 3.00p 2.50p

Trades for 28-Mar-2024

Time Volume / Share Price
08:19 5,000 @ 97.00p
08:18 4,969 @ 95.00p

Robinson Key Personnel

Finance Director Michael Cusick

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