By Samuel Indyk
Investing.com – Shares in Croda International were trading higher on Tuesday after the company announced record performance for the six months ended 30th June, driven by accelerated strategic implementation.
The specialty chemicals company said underlying sales were up 27% on 2020 and were also “well above” 2019 levels.
First half revenue jumped to £934.0 million versus £672.9 million in the first half last year. Reported pre-tax profits increased over 50% to £229.5 million.
“Our record first half performance reflects the impact of our strategic acceleration and investments, supported by improving customer demand across all regions and sectors,” said Croda International (LON:) Chief Executive Officer Steve Foots.
Croda expects the strong performance in the first half of the year to continue into the second half, driven by consumer demand, while customer restocking seen in the first half is expected to moderate.
The company now expects full year adjusted profit before tax to be significantly ahead of current expectations. Subject to there being no material change in market conditions, the company sees a similar phasing of profit between the first and second half periods as previous years.
“I am excited by Croda’s increasing opportunities in emerging technology platforms and faster growth markets, where demand for sustainable solutions will drive our progress going forward,” Foots added. “We are investing in organic and inorganic expansion, continuing our relentless innovation and focusing on sustainability across everything we do. This is creating new avenues for future growth, delivering significant value for our shareholders.”
At 09:55BST, Croda International shares were trading higher by 4.2% at 8,152 pence per share.
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