Science in Sport PLC (AIM:SIS) said it estimates a margin loss for the year due to higher prices and closure of its Russian operations, while first-half revenue growth will be "lower than expected".
In its half-year trading update, the sports nutrition firm said revenue growth for the six months to 30 June 2022 is expected to be around 12% versus the same period in fiscal 2021, below expectations, though it believes growth will improve in the second half through investments in brands, digital channels and better pricing.
For six months to June 30, 2021, revenue was up 24% to £29.3mln, returning to 20%+ growth rates despite ongoing pandemic challenges, while for 12-months to December 31, 2021, revenue grew by 24% to £62.5mln.
The company also warned of an adverse £3.2mln of costs or margin loss for the year compared to budget, which it attributed to increases in raw material prices, fuel and logistics costs, and people retention costs.
The company said its new Blackburn site is close to completion and will be operational by end-July, with the logistics operation on track to deliver expected efficiencies and cost savings.