Devro
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Preliminary results for the year ended 31 December 2006

Results 2006 2005
Revenue £153.5m £152.5m
Operating profit before exceptional items £19.3m £21.3m
Exceptional items £(1.0)m £6.3m
Profit before tax £16.3m £25.8m
Earnings per share 7.2p 11.5p
Earnings per share before exceptional items 7.6p 8.7p
Dividend per share 4.45p 4.4p
Net debt £27.0m £17.7m

Pat Barrett, Chairman of Devro, commented:

"In 2006 Devro achieved a solid increase in sales volumes, with many markets showing good growth. However, this was not sufficient to fully offset the fact that, in many respects, it was a very challenging year, with adverse foreign exchange movements and significant increases in energy costs each having a substantial impact on group profits, which were behind prior year as a result."

"We continue to enjoy strong positions in what is fundamentally a resilient global market and we have an excellent geographic spread. We also have a good knowledge of the developing market regions and, as a consequence, are well set to take advantage of the opportunities as the sausage industry becomes more automated in these areas."

"The programme for further improving our operational effectiveness is well underway and, with the initial prospects of the developing markets beginning to firm up and be converted into increased sales, we believe a base has been laid for a return to a stronger performance in 2007. The Directors are therefore confident about the future prospects for the company."

 

Enquiries:

Graeme Alexander Chief Executive 020 7404 5959 on 7 March 2007
John Neilson Finance Director 01236 879191 thereafter
Jon Coles/Mark Antelme Brunswick 020 7404 5959