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Solid gains at Norcros

Strong sales in South Africa helps to lift group revenue by nearly 10 per cent
October 14, 2015

Norcros (NXR), the specialist in bathroom accessories and tiles, is on course to deliver a solid first-half performance, with turnover expected to have risen by nearly 10 per cent in the six months to September.

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Despite continued weakness of the rand, its South African business pushed sales ahead by 8.4 per cent, or 16.9 per cent on a constant currency basis, with self-help measures and a larger market share helping to offset challenging market conditions.

The UK operation benefited from the acquisition of manufacturer and distributor of bathroom furnishings Croydex, which helped to lift sales by 9.8 per cent, and excluding the acquisition, sales grew by 1.8 per cent. And despite a £20.1m outflow associated with the acquisition, net debt grew by just £9.5m to £29.5m.