The Chesterfield-based plastic and paperboard packaging manufacturer cited a 9% drop in plastic resin prices, which was passed on to customers, for the decline in revenue. However the group estimated that underlying volumes were around 2% higher year-on-year.
Pre-tax profit grew slightly to £2.8m (2001: £2.7m), attributed to good control of operational costs and a full year’s notional rent on its Chesterfield facility, which was taken over by Sonoco UK in 2011 as part of the £2.6m acquisition of Robinson Paperboard Packaging.
Net cashflow for the year was £1.7m with £1.4m net cash after borrowing. The board has proposed a final dividend of 2.25p per share (2011: 2p) to be paid to shareholders on 1 June 2013, bringing the total dividend declared in respect of 2012 to 4p – up 7% on 2011.
Robinson chairman Richard Clothier said that the group expected the full year effect of the new business gained during 2012 would ensure revenue growth in 2013.
But he said that further additions to the management team, in an effort to grow the business, would increase costs which would temporarily limit the full effect of this growth in earnings.
"Volatility in plastic resin prices can affect margins in the short term and management are anticipating some pressure on selling prices in the current market that may, to some extent, counter the impact of higher volumes," he added.
"Nevertheless, progress so far in 2013 is positive and in line with our expectations."
Revenues decline but profits steady for Robinson
UK packaging group Robinson recorded a 2% drop in revenues to 21.2m (2011: 21.5m) in the 12 months to 31 December while pre-tax profits grew marginally.
