Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


GPG’s Coats lifts 1Q sales as industrial division revives

GPG’s Coats lifts 1Q sales as industrial division bounces back from 2013

May 8 (BusinessDesk) - Guinness Peat Group’s Coats unit boosted first-quarter sales 2 percent in the first three months of the year, and expects to complete its migration to the UK threadmaker’s offices next month.

GPG, which plans to take on the Coats name, said the gain in the threadmaker’s group sales in the first quarter was driven by a 4 percent gain in its industrial division, offsetting a 3 percent fall in sales in its crafts division. On a common currency basis, group sales were up 5 percent, with an 8 percent gain in the industrial division and a 2 percent decline in the crafts division.

Coats’ industrial unit benefited from demand in Asia for apparel and footwear, and growth in speciality and zips in Europe, Middle East and Africa. The crafts division was hindered by a shift in Scandinavia from retail sales to a distributor model.

“Coats anticipates that overall trading performance for the year to 31 December 2014 will be in line with market expectations,” the company said in a statement.

GPG said it’s continuing to reduce group costs, and the board expects to complete the downsizing and migration of support services to Coats on June 30, when it will close its London office and the remaining GPG employees will leave.

The investment firm generated about $1.4 billion from the asset sale programme it embarked on in 2011 after a shareholder revolt over plans to split up the company along regional lines saw a board shake-out. It had cash of some $773 million as at Dec. 31 from $490 million a year earlier, and shareholders’ funds of $896 million, up from $876 million at the end of 2012.

GPG is still engaging with the UK Pensions Regulator over group pension obligations, which is holding up a capital return to shareholders.

The company will hold its annual meeting in London May 22, and announce first-half results on Aug. 13.

The shares slipped 0.7 percent to 67.5 cents yesterday, and have gained 14 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news