McBride on track to hit forecasts, but cautious about cost pressures

12th Nov 2024 09:35

(Sharecast News) - White-label and branded household products maker McBride said it expects to deliver its third straight year of revenue growth, having performed in line with market expectations in its fiscal second quarter.

The company, which manufacturers professional cleaning and hygiene products, said that adjusted operating profit for the year ending June 2025 should be in line with the current consensus forecast of £59.7m, though down from £67.1m last year.

Revenues so far this year are ahead of the last year and in line with internal expectations, McBride said, while highlighting an "encouraging healthy pipeline" of new product launches and business wins.

However, the company said that while input costs for the main raw and packaging materials remain in line with forecasts, it remains cautious about the macro environment and potential price pressures related to commodity market volatility.

McBride said it is continuing to focus on reducing net debt from £131.5m at the end of June 2024 and expects to end the current financial year with a net debt position of £111.6m, in line with market expectations.

The stock was more or less flat on Tuesday morning at 110.05p.