Coats Group Plc has declared an interim dividend of 0.70 cents per share, up 15% vs the 2021 interim dividend (0.61c). The interim dividend will be paid on 16 November 2022 to ordinary shareholders on the register at 21 October 2022, with an ex-dividend date of 20 October 2022. The proposed full year dividend will be announced in March 2023 alongside the Full Year 2022 results.
Other Financial Highlights:
- Group sales growth of 19% on a CER basis (14% on a reported basis); favourable underlying market conditions in H1 alongside early pricing actions, continued supply chain agility and self-help programmes, delivered a strong performance despite high inflation;
- Apparel & Footwear: 21% sales growth (CER); all key regions performed strongly despite some ongoing Covid impacts as leverage on the global footprint effectively
- Performance Materials: 16% sales growth (CER); double digit growth in Personal Protection and Composites; encouraging improvement in US Yarns business
- Pricing actions across both Apparel & Footwear and Performance Materials coupled with self-help programmes to offset inflationary pressures
- Adjusted operating profit $125 million; adjusted margins up 180bps to 15.6% and well above 2019 levels:
- A&F adjusted operating margins 18.2% reflecting strong volumes and excellent customer service
- PM adjusted operating margins 8.2% showing continual improvement driven by US strategic projects and operational improvements
- Adjusted EPS of 4.3c per share (reported 3.4c per share), up 30% vs 2021
- Net debt (excl. lease liabilities) of $195 million; 0.8x leverage3 supported by robust free cash flow generation
