Warpaint London plc (AIM: W7L), the specialist supplier of colour cosmetics and owner of the W7 and Technic brands, is pleased to announce its audited results for the year ended 31 December 2018.
- Revenue increased by 49.2% to £48.5 million (2017: £32.5 million)
- Adjusted profit from operations £8.3 million (2017: £7.7 million)
- Adjusted earnings per share 9.1p (2017: 9.6p)
- Net cash at the year end of £1.3 million (31 December 2017: £2.0 million)
- Cash generated from operating activities £4.3 million (2017: £4.8 million)
- Final dividend for the year of 2.9p per share, total dividend for the year of 4.4p per share (2017: 4.0p per share)
- Strategic acquisition of US distributor LMS, for US$2.08 million (£1.6 million) on 2 August 2018
- International revenue increased by 59.2% to £25.1 million (2017: £15.8 million)
- UK revenue now 48% of total business (2017: 52%) as strategic emphasis on international expansion continues
- Close-out revenue increased by 34.3% to £7.6 million (2017: £5.7 million)
Commenting, Clive Garston, Chairman, said:
"2018 was a challenging year for the Company as it faced continuing uncertainty caused by the prospect of Brexit, a fluctuating Sterling exchange rate and a severe decline in retail sales on the UK high street. However, despite the challenges of 2018 I believe the Company is well placed for the future.
"Whilst trading conditions remain difficult in the UK, we have had a promising start to the current financial year. We continue to grow internationally and expect our sales outside the UK to be an ever greater proportion of Group sales going forward. In particular, I am encouraged by the sales of the Retra brands and our growth in the US.
"The Group has a sound financial footing with a strategy for growth across all our markets. The board is cautiously optimistic for the 2019 financial outturn, with growth in sales and EBITDA anticipated."