LONDON: British advanced materials and packaging group James Cropper Plc (AIM: CRPR) reported a higher annual adjusted profit before tax on Thursday, supported by cost discipline and a strategic shift under new CEO David Stirling.
For the year ended March 29, 2025, adjusted profit before tax rose 77% to £1.3 million, driven by lower depreciation charges and tight operational control. Adjusted operating profit climbed 32% to £2.6 million, while adjusted EBITDA edged up 2% to £6.7 million.
Group revenue slipped 4% to £99.3 million, reflecting a 7% drop in Paper & Packaging sales due to product mix changes, offset partially by 3% growth in Advanced Materials.
Net debt fell to £12.9 million from £15.5 million, aided by disciplined capital expenditure and strong working capital management.
The company reported a statutory loss before tax of £6.7 million, impacted by £7.2 million in exceptional non-cash impairment costs.
Stirling, who took the helm in February, outlined a revamped strategy at a June Capital Markets Event. The plan targets medium-term double-digit growth in Advanced Materials, operational stability in Paper & Packaging through the ‘3 Peaks’ efficiency model, and stringent capital discipline to enhance shareholder value.
Trading in the first quarter of FY26 was ahead of board expectations. The group expects significant EBITDA growth this year, despite losing a merchant customer in Paper & Packaging. The division is forecast to reach break-even EBITDA run rate in the final quarter.
“We’ve built a stronger foundation and a focused strategy to unlock organic growth,” Stirling said.