News blog

Tristel

  • BY: Andrew Hore |
  • POSTED: 12/10/2009 |

An increasing product range and entering new territories will help Tristel to grow even faster. 

The infection and contamination control products supplier reported a 15% increase in revenues to £6.85m in the year to June 2009. Profit growth was more modest, rising 6% to £1.29m. A greater proportion of revenues came from washers and the lower hardware margins were made worse by the Euro exchange rate.

Net debt was £392,000 at the end of June 2009. The total dividend was increased from 1.55p to 1.7p a share - including a final dividend of 1.295p a share.

Profits were held back by the costs of building up business in China and the US. Tristel has set up an 85%-owned subsidiary in China.

Clorox has licensed Tristelís chemistry for the US. It will take a couple of years to gain regulatory approvals and launch the products but Clorox, which is known for its bleach-based products, will bear that cost. Clorox has annual revenues of $5bn and has spent a significant amount of time researching Tristelís products and failed to replicate them.

In July, Tristel paid an initial £1m, raised from a share placing at 41p a share, for a portfolio of Medichem products. The final cost will be between £2.15m and £2.4m. These products are selling well and they are using up excess capacity in the factory. They could contribute £1.5m to revenues this year.

Astaire forecasts an increase in Tristelís revenues to £9.51m in the year to June 2010, so there would still be organic growth of just over £1.1m.

Profits of £2.03m are forecast for 2009-10, rising to £2.78m in 2010-11.

At 54p a share, up 3.5p on the day, Tristel is valued at £16m. The shares are trading on just over 11 times 2009-10 prospective earnings, falling to eight in 2010-11.

© 2022 Aim Micro. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Browse by issue
All issues
Popular tags
All tags

betbrokers, financial, gold, health, leisure, media, mobile, resources, services, technology

AIM Micro feeds

Keep up to date with articles published at AIMMicro.com. Subscribe to AIM Micro RSS Feeds