LONDON (dpa-AFX) - Fenner plc (FENR.L) reported that its profit before taxation for the half year ended 28 February 2018 more than doubled to 28.5 million pounds from 13.8 million pounds in the prior-year period.
Profit to owners of the parent was 16.0 million pounds or 8.2 pence per share, up from 10.2 million pounds or 5.2 pence per share in the prior-year period.
Underlying profit before taxation was 32.4 million pounds, up 96 percent from 16.5 million pounds in the prior year. Underlying earnings per share was 12.0 pence, compared to 6.3 pence last year.
First-half revenue grew 15 percent to 354.1 million pounds from 307.4 million pounds in the year-ago period.
Fenner said that its board of directors believes that the acquisition of Fenner by Michelin represents an opportunity for Fenner shareholders to crystallise in cash the value of their holdings on attractive terms.
The Board also believes that the combination with Michelin will provide Fenner with a number of strategic benefits, including the global scale and purchasing expertise of Michelin and access to Michelin's polymer capabilities.
Mark Abrahams will step down from the Board as Chief Executive Officer upon completion of the acquisition of Fenner by Michelin, assuming the transaction receives the necessary approvals.
Abrahams joined the Board in October 1990 and, having served as Chief Financial Officer, CEO and Chairman, is retiring after 27 years of service to the Company. Brett Simpson was announced as the CEO Designate on 20 December 2017.
Vanda Murray, non-executive Chairman, and the company's other non-executive directors will also leave the Board upon completion of the acquisition by Michelin.
The Board of Fenner has declared an increased interim dividend of 2.1 pence per share, compared to 1.4 pence in the year-ago period. The interim dividend will be paid on 18 May 2018 to shareholders on the register on 4 May 2018.
Copyright RTT News/dpa-AFX