Zotefoams PLC on Tuesday reported a surge in interim profit and as a result the firm said it expects its full-year underlying profit to be ahead of current market expectations.

Shares were up 12% at 275.11 pence in London on Tuesday morning.

In the six months to June 30, the London-based chemical manufacturer reported a pretax profit of £5.7 million, up 42% from £4.0 million.

Revenue increased 23% year-on-year to £59.0 million from £48.2 million. High-performance products grew 21% against the prior year, and polyolefin foams sales were up 26%.

The company said it expects full-year sales growth due to better pricing, favourable exchange rates, and an improved product mix, though it did not specify a growth figure.

‘Order books and demand momentum across key markets coming through the half year underpin our expectation for year-on-year sales growth in H2 2022,’ added Chief Executive David Stirling.

Underlying full-year profit is expected to be ahead of market consensus, which Zotefoams didn’t specify.

Zotefoams declared an interim dividend of 2.18 pence, up 4.0% from 2.10p per share the previous year.

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