Portmeirion Group PLC on Thursday said sales in the first half of the year were up, but it remains cautious of geopolitical headwinds.

Shares in the Stoke-on-Trent, England-based pottery company were down 8.8% to 374.00 pence each in London on Thursday around midday.

Portmeirion reported that sales in the first half of the year will be at least £45 million, saying this represented a 5% increase from a year before. Portmeirion reports sales of £43.1 million in the first half of 2021.

However, the company warned that consumers are feeling pressure from increasing costs of living. At the same time, the impact of the Ukraine war is raising raw material prices, and the pottery maker also faces global supply chain issues heading into the second half of the year.

It added that despite of this ‘challenging’ backdrop, Portmeirion continues to grow.

Chief Executive Mike Raybould said: ‘The benefit of our diversified sales markets, strong brands and the ongoing strategic investment in productivity, automation and efficiency has mitigated much of the increasingly challenging market conditions and input cost inflation during the first half of 2022.

‘However, we have also seen retail customers react to the economic environment by de-stocking in the first half and we remain cautious to the risk of further declines in consumer and retailer confidence for our key second half trading period.’

Copyright 2022 Alliance News Limited. All Rights Reserved.