Coats

Half Year Results 2014

  • 14 August 2014

Guinness Peat Group plc today released its financial results for the first half ended 30 June 2014, incorporating the H1 results for Coats plc, the world’s leading industrial thread and consumer textile crafts business.

Coats plc highlights

  • Revenue of $837 million, up 2% year-on-year on a like-for-likea basis, flat on a reported basis
  • Operating profit of $65 million, up 5%, like-for-likea before exceptional items, up 3% on a reported basis
  • Strong performance across the Industrial Division; Crafts impacted by reduction in fashion handknitting demand and one-off costs
  • Profit before tax up 28% to $50 million
  • Net attributable profit more than doubled to $19 million
  • Last 12 months adjusted free cash flow of $49 million

Commenting on Coats’ half year 2014 results Paul Forman, Group Chief Executive, said:

‘Coats' group performance in the first half of 2014 continued to improve and build on the growth achieved in 2013. The Industrial Division delivered another strong performance, illustrating the strength of our core markets and leading global market positions, as well as the increasing contribution from our Speciality business. Crafts performance was impacted by a reduction in fashion handknitting demand and one-off costs.

We expect both Divisions to contribute positively in the second half of 2014 and for the Group to deliver a year-on-year increase in profits, with full year attributable profit in line with market expectations.  The significant growth in attributable profit and good level of free cash flow are satisfying outcomes.’

a H1 2013 figures at H1 2014 exchange rates
b See Coats Group financial review for calculation of adjusted free cash flow (page 12 half year results statement)