Coral Products Plc (LON:CRU) shares advanced on Monday as a trading update revealed a ‘better than feared’ performance for the financial year ended 30 April 2019.
Having warned in March that results for the year would be materially below market expectations, the company today told investors that whilst the underperformance would still be ‘material’ it will not be ‘as significant as previously expected’.
The group flagged the benefit of its ‘actual performance’ and urgent management action for the unanticipated improvement.
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“The board remains confident in its strategy and looks forward to a year of continued improvement,” it said.
Adding: “The outcome for the year to 30 April 2019 as per our as yet unaudited management accounts indicates a marked improvement over the previous year's results. Sales, Operating Profit, (underlying and actual) and EBITDA were much improved. Gross margins also improved despite difficult trading conditions.
“Overall debt slightly increased as we continued to invest in new products, processes, plant and people, to ensure we have the resources to meet what we believe will be increased market demand.”
The company will release its financial results in August ahead an AGM in September.
In afternoon trading, Coral Products' shares were 15.4% higher at 7.50p.
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