Departing Devro boss unveils sales surge

Devro boss Peter Page has signed off his decade-long reign at the Scottish sausageskin maker with a return to volume growth.

Full-year results for the Moodiesburn-based group yesterday revealed revenues of £256.9 million, up from £241.1m in the previous 12-month period. Operating profit was flat at £38.1m but underlying earnings rose to £64.1m from £58.8m last time. The total dividend has been left unchanged at 8.8p.

The group, which is undergoing a restructuring programme that has already led to “significant” cost savings, said volume growth had been strongest in China, south-east Asia and Russia.

Chief executive Page who hands over control to finance director Rutger Helbing today, said: “Our priorities at the start of 2017 included sales growth to regain market share and cost reduction in operations.

“We made strong progress on both objectives, with 8 per cent growth in sales volumes of edible collagen casings and a £7m reduction in the manufacturing cost base, supporting a significant reduction in net debt.

“Over the past ten years Devro has successfully moved from operating as a series of regional subsidiaries to an efficiently managed single global organisation.”

Helbing added: “I am delighted to succeed Peter as chief executive.

“Whilst mindful of ongoing pressures from input cost inflation and exchange rate volatility, at this early stage of the year the board believes that Devro is well placed to make good progress in 2018.” 0 Peter Page has been in charge for over ten years