|
|
 | | | |
- close
- close
- close
- close
| |||||||||
This excerpt taken from the ICI 6-K filed Aug 10, 2006. Paints Paints achieved comparable sales growth of 6% in the first half. Sales grew strongly in Asia and in the UK, whilst in Continental Europe sales were adversely affected by generally weak retail markets. Sales prices were increased in response to higher raw material costs, but overall gross margin percentages were lower than last year. Costs below gross margin were higher than in the first half of 2005 and trading profit was 3% higher on a comparable basis. As reported sales and trading profit were 10% and 6% above 2005 respectively, with a favourable impact from foreign exchange accounting for the difference from the comparable performances. The following commentaries on the five geographical regions where Decorative Paints operates and on the Packaging Coatings business refer to performance measured on a comparable basis. Sales for Decorative UK & Republic of Ireland were 8% ahead of last year with good volume growth, particularly in the UK retail business despite mixed market conditions. Gross margin percentages were in line with last year. Costs below gross margin increased from last year with increased advertising expenditure. Trading profit was ahead of the same period in 2005. Decorative Continental Europe sales were 4% lower than last year with weak performances in France and Germany partly offset by growth in Poland, Benelux and other countries. Gross margin percentages were slightly above last year due to higher average selling prices and stronger mix, however, trading profit was lower than last year. Sales for Decorative North America were 5% ahead of last year as selling price increases and stronger mix offset the impact of lower sales volumes. Growth in both the US trade and retail segments offset weakness in the Canadian market. Gross margin percentages were below last year due to increased raw material and freight costs. Costs below gross margin were higher than 2005, and as a result trading profit was lower for the half year. Decorative Asia had another good half year, with 12% sales growth. Sales volumes were well ahead, notably in China, India, Pakistan and Vietnam. Lower gross margin percentages and higher costs below gross margin, mainly to support increased sales volumes, resulted in trading profit only slightly ahead of last year. Decorative Latin America sales were 4% ahead of last year, due mainly to a steady performance in Brazil. Gross margin percentages were higher than last year and with lower costs below gross margin, trading profit was significantly ahead of last year. Sales for the Packaging Coatings business were 10% ahead of last year, with particularly strong demand in Latin America. With higher gross margin percentages, trading profit was significantly ahead of the prior year. This excerpt taken from the ICI 20-F filed Mar 31, 2006. Paints Paints reported sales of £2,331m for the year were 8% ahead of 2004. Excluding foreign exchange translation effects, sales were 5% ahead of 2004, with growth for all decorative paint businesses (Europe, North America, Asia and Latin America) and for the Packaging Coatings business. Overall gross margin percentages were lower than last year with escalating raw material costs in the second half of the year. Operating profit before special items was 6% ahead of 2004 on a constant currency basis. The following commentaries relate to the four geographical regions where Decorative Paints operates (Decorative Paints accounted for close to 90% of Paints’ overall sales for 2005) and to the Packaging Coating business (9%). Other businesses accounted for 1% of overall sales. The geographic split for Paints by customer location in 2005 was: Europe 36%, North America 39%, Asia 15% and Latin America and Rest of World 10%. In Decorative Europe, reported sales for 2005 were 1% ahead of 2004. Excluding favourable foreign exchange translation effects, sales for 2005 on a constant currency basis were 1% ahead of 2004. There was growth for UK trade sales and sales in Ireland and Eastern Europe, whilst sales in the UK retail market were lower. In Decorative North America, reported sales for 2005 were 6% ahead of 2004. Excluding favourable foreign exchange translation effects, sales for 2005 on a constant currency basis were 4% ahead of 2004. There was growth in all the principal market sectors, but raw material and energy cost increases were significant and gross margin percentages were lower than 2004. In Decorative Asia, reported sales for 2005 were 18% ahead of 2004. Excluding favourable foreign exchange translation effects, sales for 2005 on a constant currency basis were 17% ahead of 2004, with notable performances in China, India, Pakistan and Vietnam. Decorative Latin America reported sales for 2005 were 20% ahead of 2004. Excluding favourable foreign exchange translation effects, sales for 2005 were 5% ahead of 2004 with growth in all the key countries in the region. Reported sales for 2005 for the Packaging Coatings business were 17% ahead of 2004, and excluding favourable foreign exchange translation effects, sales were 14% above 2004. This excerpt taken from the ICI 6-K filed Mar 14, 2006. Paints
Uniqema’s sales were 1% lower than 2004 on a comparable basis with growth in Asia and Latin America offset by lower sales in Europe, which experienced difficult market conditions through most of the year. Glycerine prices and margins fell progressively through the year and this was compounded by the impact of higher raw material and energy costs, particularly in North America. Gross margin percentages were slightly lower than last year. However, good cost control and the benefits of restructuring resulted in costs below gross margin being well below 2004, and trading profit was 6% ahead on a comparable basis. Trading margin improved to 3.5% (2004 3.3%) . As reported sales were in line with 2004, and trading profit as reported was 9% ahead. Paints sales were 6% ahead of 2004 on a comparable basis with growth for all regions of the decorative paint business, particularly Asia and Latin America, and also for Packaging Coatings. Raw material costs increased substantially over the course of the year, and whilst increased selling prices recovered the absolute monetary value of the cost increases, gross margin percentages were lower. However, trading profit was 6% ahead of 2004 on a comparable basis. Trading margin was unchanged at 10.9% . As reported sales and trading profit were both 8% ahead of 2004, with foreign exchange effects largely accounting for the difference from the comparable performance. The following commentaries on the four geographical regions where Decorative Paints operates and on the Packaging Coatings business refer to performance measured on a comparable basis.
| EXCERPTS ON THIS PAGE:
RELATED TOPICS for ICI: |
| |||||||
