Cussons in a froth as Imperial Leather maker posts raised profits

Published on Monday 26 July 2010 21:59

THE OWNER of soap brands Imperial Leather and Carex has enjoyed a 13 per cent hike in profits at its European business after the launch of new products boosted trading.

PZ Cussons said "excellent brand innovation" helped it offset high levels of promotional activity and an uncertain consumer outlook.

The company, which also owns Original Source and haircare brand Charles Worthington, posted operating profits of 46.2 million in Europe for the year to 31 May, up from 40.9m even though revenues dipped 2.5 per cent to 280.8m.

It said Imperial Leather - the largest brand in its UK portfolio - continued to deliver new formats in soap, handwash and shower gel, including a sensitive skin product with a formula that allows fragrance to be added.

The company's other big operation is in Nigeria, where political and economic uncertainty has impacted on the business. Revenues for the region fell 9 per cent to 325.2m but operating profits still improved 7 per cent to 42.2m.

Across the Manchester-based group, which also has a strong presence in Asia, profits rose by more than City expectations to 101.8m, a gain of nearly 15 per cent. Despite that, shares slipped 4.5 per cent to 343.9p.