Bespak bespeak increased profits

Bespak, a leader in specialty medical devices, has announced its interim results for the 26 weeks to 30 October 2004.

Profit before tax and exceptional items has increased by 16% to £5.7m, despite a 4% decline in turnover to £38.9m, whilst earnings per share before exceptional items increased 20% to 15.6p.

Other key points included: closure of US manufacturing facility expected to improve on-going operating profit by approximately £0.7m annually after further estimated exceptional cash costs of £2m, although exceptional cost of £3.9m impairment incurred as initial result; after exceptional items, profit before tax declined to £1.8m from £2.9m in 2003; interim dividend of 7.0p per share maintained; balance sheet remains strong with net cash of £15.0m

Mark Throdahl, Bespak's chief executive, commented: 'the company has performed very well in the first half. Closing the Cary facility removes an under-performing part of the business, and we are now turning our attention to acquiring specialty medical businesses that play to our strengths and enable us to generate more consistent sales growth.'