UK-based block foams producer Zotefoams lifted sales by 7% to £57.38m (€65.9m) in 2016. Its profit before tax and exceptional items increased by 20% to £7.23m (€8.3m).
There was a strong performance in its High Performance Products (HPP) business, which improved profit from £0.82m (€0.94m) in 2015 to £2.48m (€2.8m) in 2016.
Steve Good, chairman of Zotefoams, said the group benefited from investments in 2016 and that it “is increasingly well resourced to support its ambitious plans for growth”. During 2016, Zotefoams started a £12.6m (€14.5m) capex programme, including £6.9m (€7.9m) investment in its Walton, Kentucky, USA, expansion project.
“We start the year with polyolefin sales volumes broadly similar to the previous year as we operate close to capacity and a double digit increase in sales value, with the benefit of weaker sterling and good growth in our HPP business, improving the sales mix,” said Good.
“Zotefoams’ strategy of organic development, based around unique technology, offers the opportunity for sustained high levels of organic growth in markets where underlying growth is responsive to trends in demographics, regulation, environmental issues and sustainability. We see these opportunities driving organic sales growth across all business units in 2017.”