Vesuvius profit rises as margins recover

March 4 Tue Mar 4, 2014 3:06am EST

March 4 (Reuters) - Vesuvius Plc, a maker of ceramic moulds and linings for steelmakers and foundries, reported a 14 percent jump in pretax profit as margins recovered after the company exited non-core businesses which were less profitable.

Overall margins expanded to 9.3 percent in the year ended Dec. 31 from 8.5 percent a year earlier, Vesuvius - spun off from Cookson Group in 2012 - said on Tuesday.

Pretax profit rose to 125 million pounds ($208.97 million) in the year ended Dec. 31 from 109.7 million pounds a year earlier.

Revenue fell to 1.51 billion pounds from 1.55 billion pounds. Revenue from the company's steel division, which accounts for 70 percent of Vesuvius' revenue, remained flat.

Analysts on average had expected a pretax profit of 120 million pounds on revenue of 1.54 billion pounds according to Thomson Reuters I/B/E/S.

Shares in the company closed at 442.1 pence on Monday on the London Stock Exchange.