International Greetings Plc. (IGR.L) said, in a pre-close trading statement, that it confirmed its key target of adjusted earnings per share (pre-exceptional earnings per share) for the full year should be substantively in line with expectations. This has been achieved principally through strong growth to aggregate profit in the Company's wholly owned businesses, in particular the USA, the company said.
In addition, pressure on margins due to geographical sales mix and higher freight costs has been mitigated through effective overhead initiatives and modest top line growth. However, the impact of lower sales and contribution from our Australian JV will result in only a marginal increase in reported profit before exceptional items and tax on the prior year, the company noted.
The current year order book is developing well including contracts for the supply of Christmas gift packaging with all four of the UK's leading Supermarket multiple retailers, as well as material new contracts with a leading UK £1 retailer and Canada's largest $1 store chain.
The company said it expects to publish its preliminary results for the year ended 31 March 2013 on 3 July 2013.
In addition, the company said that it has secured funding for and commenced the implementation of a majorcapital investment (about 6 million pounds net of grants) in the Company's gift-wrap manufacturing facilities in the UK. This involves the rationalisation of gift-wrap printing to one site instead of two, the retirement of old presses and investment in new state of the art printing equipment. Execution of the investment will take 12 months, after which point pay-back is expected to be approximately three years, excluding the potential to subsequently dispose of a surplus freehold site valued in excess of 1million pounds.
The company noted that it is also undertaking a smaller scale, but faster pay back investment of 0.5 million pounds at its manufacturing facilities in Savannah, Georgia, USA.
The combined effect of the initiatives to update the manufacturing capability within the Group, including residual costs relating to the transition in China, creates an additional exceptional charge in FY12/13 of just under 1 million pounds. Further exceptional charges relating to accelerated depreciation on equipment to be replaced, decommissioning and other associated costs will also arise in later years, the company noted.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.