The plastic pipe maker, which floated on the London stock exchange in 2014, has again reported record financial results.
Polypipe group revenue for the year ended 31st December 2016 was 24% higher at 拢436.9m (2015: 拢352.9m).聽 This was partly due to the 拢145m acquisition of ventilation equipment manufacturer Nuaire in August 2015, but on a like for like basis, excluding acquisitions and on a constant currency basis, revenue was more than 9% higher than the prior year.
Underlying operating profit was up 28% to 拢69.4m (2015: 拢54.2m), representing a record operating margin of 15.9% (2015: 15.4%).
Profit before tax was up 31% to 拢54.4m (2015: 拢41.5m).
Chief executive David Hall said that investment in capacity expansion projects was paused in the wake of the EU referendum result, but these soon resumed as confidence returned. 鈥淲hilst we took a measured response to slow capital expenditure relating to capacity expansion in the immediate aftermath of the EU referendum, as our confidence returned we recommenced those projects, which has the effect of having pushed forward around 拢3m of expenditure originally planned for 2016 into 2017.聽 Despite this rescheduling, we still invested 拢19.1m during the year,鈥� he said.
New products introduced during 2016 included a push-fit stainless steel manifold for the underfloor heating range, a range of cast-iron effect PVC rainwater hoppers, a squeezable cavity closure that requires no cutting on site, HDPE four-way boss pipes and low-level manifolds, and a range of guardrail and chain assembly accessories for Ridgistorm-XL installations.
David Hall said that further business growth was expected in 2017. "Following on from a record performance in 2016 I am confident that our strategic development initiatives will continue to deliver growth ahead of the market," he said.
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