Chemical company Croda reports improved sales growth

The Snaith-based chemical company, which creates high performance ingredients and technologies, said improving sales trend seen in the fourth quarter of 2016 has continued into 2017.

Constant currency sales increased by 4.9 per cent, driven by strong organic growth. While reported currency sales increased by 19.1 per cent to £365.5m, up from £306.8m in the first quarter of 2016, reflecting sterling’s continued weakness.

The later timing of Easter is estimated to have benefited sales by approximately 1.5 per cent, the company said.

Croda said it was “encouraged” be performance in the first quarter and that it remains “on track to deliver continued profitable progress through 2017”.

Last year the business delivered record profits. In the year ended December 31 2016, the company’s adjusted profit before tax was up by 13.2 per cent at £288.3m.

The company said its relentless commitment to innovation had driven the record profits performance.

Steve Foots, the chief executive, said: “Our innovation pipeline is exciting, with sales from new and protected products (NPP) increasing for the fourth consecutive year and strong momentum across all market sectors.”