James Cropper plc has confirmed a strong financial recovery, including revenue growth for the Paper division, in announcing its annual report.
In a transformational year for the Group, the business delivered a solid performance. For the year ended 1 April 2023, revenue increased 24% to £129.7m, driven by high demand and retained contracts. Adjusted operating profit also increased, by 4% to £4.8m, despite significant inflationary cost headwinds.
The Paper business, which is at the centre of James Cropper’s transformation strategy, has shown impressive revenue growth of 25% to £88.2m despite a challenging cost base. These challenges included unprecedented increases in raw material and energy prices, alongside a sales decrease in certain traditional volume areas, necessitating a right-sizing of the business.
This streamlining is part of the Group’s repositioning to capitalise on growth opportunities, which includes reorganising three divisions into four market-facing segments under the Group name; Creative Papers, Luxury Packaging, Technical Fibres and Future Energy.