28 February 2017
DETAILS
today announces its full year results
for the year ended 31 December 2016.
Full year Group highlights (reported currency):
• Record profit delivered,
with profit growth in all Core Business sectors.
Adjusted profit before tax up 13.2% at £288.3m
• Robust sales growth, up 15.0%, driven by Incotec,
innovation and progress in high value markets,
together with positive currency translation
• Relentless innovation creating
more IP-protected business across all sectors,
with sales of New & Protected Products (NPP)
up 20% to 27.4% of total sales
• Excellent margin and return on capital retained,
with return on sales of 24.0% and ROIC at 19.3%
• Impressive cash generation
with free cash flow of over £155m,
supporting net capital expenditure of over £100m,
a 7.2% increase in ordinary dividend and further
de-leveraging after special dividend payment
of £136m in June 2016.
Steve Foots,
Croda Chief Executive Officer
“Croda has delivered a record profit in 2016.
We have grown sales through
selective acquisitions and organic growth
in premium market niches,
driving bottom line performance
through high value products and relentless innovation.
Our innovation pipeline is exciting,
with sales of New and Protected Products
increasing for the fourth consecutive year.
We continue to expand in higher growth markets,
with Asia the stand out performer, and
we are growing with regional and smaller customers.
“Our priorities for 2017 are to drive profitability
through a greater focus on
premium, faster growth niches; improve performance
in less differentiated markets; and continue
to grow margins
in Performance Technologies and Incotec.
We have seen some encouraging signs
of improving sales trends,
which have continued into 2017.
We are supporting this
through innovation and investment.
Croda is a strongly cash generative business
with substantial balance sheet capacity.
We will remain disciplined
* in both our capital allocation and
* in driving returns for shareholders.
We are confident of delivering continued progress
in our performance in 2017.”
WWW.CHEMWINFO.COM BY KHUN PHICHAI
