The magazine, commercial and direct mail printer nearly trebled its profit before tax, amortisation of goodwill and exceptional items to 3.02m, although sales dropped from 62.5m to 62.4m. Its operating margin rose from 4.4% to 7.2%.
Its a bit of a recovery on our part, said chief executive Bryan Bedson. But I dont think the cake has got any bigger and we cant see too far ahead.
Wyndeham also benefited from cost-cutting measures over the past couple of years, including 140 job losses and rationalisation of factories.
Investment totalling 66m over the past five years had made Wyndeham a technology and cost leader, according to Bedson. He said its focus on just the UK had helped its performance, as it had been more resilient than the US or some parts of Europe.
It also shifted some focus from publishing to commercial work to mitigate the impact of reduced advertising in magazines. Magazine printing represented 56% of sales, compared to the historic average of more than 70%.
Capital expenditure was only 1.3m in the six months to 30 September due to the completion of the groups major investment programme last year.
Wyndeham also reduced its gearing from 112% to 91%, and Bedson wants to bring it down to 65-70% in line with historical levels.
Bedson said the groups rebranding, revealed last week, would give it a far more cohesive appearance.
Story by Gordon Carson
Picture: Bedson - "cost leader"
