Plastics Capital increases its 2016 full year dividend by 10%

Financial highlights

Banking facilities increased and extended post period-end

Proposed Scrip dividend being offered as alternative to cash dividend of 2.94p

Operational highlights

Strong revenue and profit before tax growth driven by acquisitions;

Proforma organic revenue growth of 3.1% achieved in challenging markets;

Excellent full year contribution from recently acquired Flexipol in the Films Division;

Good year for new business wins in the Industrial Division;

Healthy pipeline of new business won still to go into production;

Increasing investments in new projects;

Exciting new products in late stages of testing and introduction;

Good progress on strategic initiatives to deliver long term growth targets;

Management team strengthened for next stage of growth.

Commenting on these results, Faisal Rahmatallah, Executive Chairman, said:

"We have made good progress over the last year, overcoming weak demand in certain end markets as well as both currency and adverse raw material price movements in the first half year. Flexipol has performed very well since acquisition and new business is progressing particularly well in the Industrial Division. Profitability and cash flow have remained strong.

"Trading in the current year is in line with management's expectations. We have a number of exciting projects that we will be investing in as the year progresses arising from new business wins and the need for additional capacity. We believe these initiatives will help us to deliver good growth over the next few years. For FY2017, we anticipate another year of good progress."