Antalis chief executive Pierre Darrot said that despite poor conditions and a market decline in Western Europe, the firm had managed to improve its margins.

This had been helped by cost-cutting measures in logistics, an improved service level to customers, and strong partnerships with suppliers.

"We have a balance sheet which is not fantastic, but is certainly decent," Darrot said.

The firm's presence in markets that offered strong growth potential, such as South America, South Africa and Asia had also helped boost margins.

Net profit almost doubled to 8.2m (12.2m) year-on-year, while operating profits of 18m, heralded a growth of 45%. Sales were static at 789m.

The outlook continues to be bleak for Arjo, with further cost-cutting measures forecast in the second half of this year. These will follow the closure of its Fort William mill in Scotland later this month.

Sales were down 2.1% to 669m, while operating profits slumped 23% to 37m. Net profits were down to 17m, a fall of 27.4%.