Filtrona (LON:FLTR) has performed in line with expectations in the third quarter as the business continued seeing positive momentum, leaving it confident of delivering overall growth for the current year.
In the quarter to 1 October, the fibre products group’s sales climbed 10 percent with protection and finishing products emerging as the top performing division, achieving revenue growth of 24 percent.
The protection and finishing products business, whose like for like sales climbed 13 percent, benefitted from the acquisition of Reid Supply Company and a full contribution period from its recently acquired Stera Tape business.
All divisions saw their sales increase except for the porous technologies business, where sales fell 1 percent at actual currency exchange rates, which Filtrona said was due to lower customer demand during the period, adding that it expects it to recover.
Sales at the security products and filter products businesses were up 8 percent and 6 percent respectively.
“While mindful of the current economic uncertainty, we are well-positioned to deliver balanced growth for the remainder of 2011 and into the next financial year,” said chief executive of Filtrona Colin Day.
In the year to date, Filtrona’s sales have increased 9 percent at actual exchange rates, while like for like sales improved 8 percent.
Stronger sales during the quarter have allowed Filtrona to reduce its net debt by £2 million at end June to £80 million at 1 October.
The markets welcomed the update as shares in Filtrona rose 3 percent to trade at 349.2 pence in early deals, valuing the company at £728 million.