McBride warns on profits, blaming higher input and distribution costs
Source - SMW
Cleaning products supplier McBride warned of a fall in annual profit of up to 15% amid higher raw material and distribution costs.
The company said its underlying sales for the six months through December had risen 6% on-year.
'However, the group continues to see pressure on its cost base,' McBride said.
'We continue to expect the overall raw material pricing outlook to show improvements in the second half, but not to the extent anticipated in early January.'
'In addition, distribution costs continue to rise beyond our previous estimates due to market rates and efficiency challenges driven by logistics capacity shortfalls and internal service gaps.'
Adjusted pre-tax profit for the full year through June was therefore expected to be about 10-15% lower on-year.