McBride PLC (LON:MCB) shares rose on Tuesday as the cleaning and hygiene products maker said demand for its goods had risen strongly during the pandemic, which had helped lift its full-year performance following a “tough first half year”.
In its results for the year ended June 30, the company reported an adjusted pre-tax profit of £24.2mln, down from £24.5mln in the previous year, while revenues fell 2.1% to £706.2mln, which was mainly attributed to the company’s exit from its UK aerosols business.
READ: McBride profits to top expectations again but demand returns to pre-pandemic levels
McBride said it had seen a “strong profit performance” in the last four months of the year as demand increased for its cleaning, dishwashing and aerosol products, while it added that it had not experienced any significant production or business disruption from coronavirus.
Looking ahead, the firm said trading conditions were “starting to normalise as consumer behaviour return to pre-[coronavirus] patterns”, with demand for cleaning products continuing to show year-on-year growth.
“We anticipate modest revenue growth in the coming year following contract gains which, combined with increased efficiency, should see a modest improvement in year-on-year profitability”, the company said.
"The group has delivered a solid [2020 financial year] performance overall. Following a tough first half year, demand for many of our cleaning products rose strongly as a result of [coronavirus]”, said McBride chief executive Chris Smith.
The firm also unveiled the initial findings of a business review and the first phase of its Compass strategy, which is aiming to amass annual revenues of €1bn (£900mln) over the next five years.
“From January 2021, we will establish separately managed divisions, each with their own focused strategies, and I am confident that the new McBride teams will deliver on our new ambitions", Smith said.
Shares in McBride were 1% higher at 66.4p in early deals.