An interim dividend in respect of 2021 of 43.50p per share, amounting to a total dividend of £60.7m, was declared by the Croda PLC Directors at their meeting on 26 July 2021. This interim report does not reflect the 2021 interim dividend payable. The dividend will be paid on 5 October 2021 to shareholders registered on 10 September 2021.
Other financial highlights include:
Excellent underlying growth across all sectors
o Underlying sales up 27% on 2020, including successful raw material price recovery
o Sales now well above 2019 levels, up over 10% in underlying terms (before the benefit of lipid systems)
o Strong Consumer Care and Performance Technologies performances, driven by end consumer recovery, customer inventory build and demand for sustainable solutions
o Benefitting from significant capital investment over last 12 months, together with increased innovation
Successful delivery from recent acquisitions opening up new fast growth markets
o Iberchem profit performance in line with plan; Avanti significantly ahead
o Integration and synergy delivery on track; additional bolt-on acquisitions completed in Consumer Care
Continued success in building Life Sciences platform
o Outstanding Health Care performance - continued sales growth of vaccine adjuvants and speciality excipients, supplemented by over US$100m of lipid system sales for COVID-19 applications
o Organic growth and acquisition resulting in near doubling of adjusted operating profit
o Over £40m invested in Health Care capacity expansion this half year, reinforcing leading niche positions
Excellent first half financial results
Reported sales up 39%, driven by organic growth and acquisitions
Improving margin driving excellent profit growth
o Return on sales up 190 basis points - Life Sciences performance supported by progress in Consumer Care and Performance Technologies
o Record adjusted profit before tax at £229.5m, up over 50% on 2020 and 35% on 2019
o IFRS profit before tax up over 40% to £204.1m (2020: £144.9m)
Leverage reduced to 1.7x EBITDA, despite increased capital investment and demand-driven working capital build
