Zotefoams plc (LON:ZTF), a world leader in cellular materials technology, has provided a trading update (unaudited) in respect of its financial year ending 31 December 2021.
Further to the trading update of 17 December 2021, we expect to report Group revenues for the year of approximately £100m and profit before taxation, in line with market expectations, of approximately £7m. This has been achieved as we continued to focus on maintaining high customer service levels in the very challenging supply chain conditions experienced at the end of last year.
Our ReZorce® mono-material barrier packaging activities have made excellent recent progress. In Massachusetts, our pilot plant is now operational and external partner trials are planned for the coming months. In response to strong market interest and progress to date, our confidence in this opportunity has grown and we plan to invest approximately £1-1.5m of additional operating cost in 2022 to accelerate commercialisation progress. We expect to provide further detail of our longer-term plans for this disruptive technology later this year.
The Group will be announcing its preliminary results for the year ended 31 December 2021 on 22 March 2022.
Commenting on the update David Stirling, Group CEO of Zotefoams, said:
“Despite a very challenging backdrop at the end of 2021, we are pleased to have delivered strong top-line growth while meeting profit expectations for the year and our customers’ needs.
“I am very pleased at the progress our team has made in developing the ReZorce barrier technology and the plans for increased investment are fully justified given this and the potential opportunity in sustainable barrier packaging for the circular economy.”