Synthomer Plc announces an interim dividend of 4.0 pence per ordinary share was approved by on 1 August 2022 and will be paid on 4 November 2022 to members on the register at the close of business on 7 October 2022. The final dividend of 21.3 pence per ordinary share in respect of 2021, which was approved by the AGM on 28 April 2022, was paid on 5 July 2022.
Other Financial Highlights:
- Group EBITDA £173.1 million (2021: £322.7 million) with all businesses delivering EBITDA growth apart from Performance Elastomers
- EBITDA significantly ahead of both 2020 (£100.2 million) and 2019 (£99.7 million)
- Organic growth delivers £25.6 million of additional EBITDA between H1 2019 and H1 2022
- H1 double digit EBITDA growth in Functional Solutions and Industrial Specialties
- Performance Elastomers lower following an exceptional prior year of peak demand for Nitrile Butadiene Rubber (NBR) related to the COVID pandemic
- Increased geographic and portfolio diversity through organic and inorganic growth
Free Cash Flow of -£62.0 million (2021: £89.5 million), £66.0 million Free Cash Flow generated before working capital movement
- Invested strong Free Cash Flow from previous years to establish Adhesive Technologies division following completion of the $1bn acquisition of Eastman's Adhesive Resins business in April 2022
- Investment in working capital from higher raw material costs and to mitigate supply chain disruption. Working capital optimisation programme in place will also address higher working capital ratio in acquired AT division
- Net debt at £992.8 million and leverage at 2.3 x EBITDA
Integration of Adhesive Technologies division on track
- Solid first quarter contributing £131.0 million to Group revenues
- Increased exposure to attractive, high-growth markets
- Expanded the global diversification and portfolio of speciality products
Diverse and differentiated business model
- Resilient business - inflation cost increases passed through; unit margins higher in Functional Solutions and Industrial Specialities
- Resilience underpinned by enhanced US position, broad end-market exposure and network agility
- Low energy intensity across global operations with extended energy management
Continued progress on Vision 2030 ESG roadmap
- Ambitious, measurable goals aligned with UN SDGs, with emissions targets awaiting approval by the Science-based Targets Initiative (SBTi)
- Introduced internal carbon pricing across the group
- Increased female representation at Executive Committee level 2022: 30% (2021: 0%) and on the Board 2022: 40% (2021: 33%)
