Metalrax tops 20-year profit

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The Independent Online
METALRAX, the storage, engineering and housewares group, announced its 25th successive 10-for-1 bonus share issue after profits rose for the 20th year running, writes Diane Coyle.

Pre-tax profits increased to pounds 8m in 1993, up from pounds 7.5m, on turnover 10 per cent higher at pounds 71.3m. Eric Moore, managing director, said turnover and profits had risen at each of Metalrax's three divisions.

'The general trading climate is more favourable now than at any time in the past three years,' he said.

Acquisitions contributed pounds 300,000 to 1993 profits, compared with pounds 160,000 in 1992. Metalrax ended the year with net cash of over pounds 6m, and is continuing to look for suitable takeover targets.

Ben Thefault, an analyst at Albert E Sharp, said: 'Metalrax has ridden the recession. Now it needs to convince us that it can grow out of it.' He forecasts profits of pounds 8.5m for 1994. The shares rose 2p to 132p.