Stanelco Nine-month Revenues Increases

11/6/2009 6:10 AM ET

(RTTNews) - Bioplastics and Radio Frequency welding technology provider Stanelco Plc (SEO.L: News ) reported Friday a 12% growth in revenues, helped by higher sales in both divisions and in its joint venture, Biotec Group. The company's overall trading performance was in line with the expectations of the Board, which was also confident in the full-year outlook.

For the nine months to September 30, 2009, revenues grew to GBP 13.4 million from GBP 12 million last year, reflecting an increase in sales across all segments.

Segment-wise, sales from Stanelco's Bioplastics division advanced 29% from the prior-year period. The group continues to see strong demand for the products, attributable to both concerns about waste disposal and also the willingness of many large firms to sustainable resources in key brands.

Stanelco's joint venture, Biotec, posted an 8% growth in third party sales, when compared to the previous year.

In the Radio Frequency applications division, sales in the period surged 30%, including growth in both optical fibre furnaces and more general industrial equipment. Sales order pipeline continued to reinforce, as overseas sales was on the rise in China and India.

Looking ahead, for the full year, the Board was confident in the outlook. The group said that it would focus on working closely with customers with the potential to deliver higher revenue, while considering other measures, including possible acquisitions.

SEO.L is currently trading at 0.47 pence, up 0.02 pence or 5.33%, on the LSE.