REG - Coral Products PLC - Ice Cream & Food Container three-year Agreement

Coral ProductsAnnouncement

20/03/2025 11:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250320:nRST5119Ba&default-theme=true

RNS Number : 5119B  Coral Products PLC  20 March 2025

Coral Products plc

("Coral", the "Company" or the "Group")

Ice Cream & Food Container three-year Supply Agreement

and production and process improvement program

Coral Products plc, a group of specialist businesses in the design, UK
manufacture and omni-channel supply of a wide range of bespoke plastic
products based in Wythenshawe, Manchester, is pleased to announce that its
wholly owned subsidiary Tatra Rotalac Limited, has signed an exclusive three
year supply agreement, with a leading UK distributor of BRC (British Retail
Consortium) packaging containers, for the supply of ice cream and food
containers (the "Agreement"). The Agreement is for an initial period of three
years, and is anticipated that it will generate sales of between £1.5 million
-£2.0 million per annum.

The Company's ability to produce the products under the Agreement follows the
£2.1 million investment in new machinery and re-tooling as announced 4
September 2023 which is now operational.

The Company is also pleased to announce that it has now completed the
successful commissioning of the in-house manufacturing capability for the
volume manufacturing of the ECODECK floor grids, initially announced 4
September 2023. The new facilities allow the Company to optimise the use of
recycled materials enhancing manufacturing efficiency. These improvements will
allow the Company to insource £3 million per annum of previously outsourced
products, strengthening operational resilience and cost efficiency. It is
anticipated that the improvements will have a material positive effect on
overall margin contribution and cash flow.

Joe Grimmond, Chairman, said "Thanks to the efforts of Ian Hillman, our Group
COO and the team we should now enjoy, after a 12-month delay, the full
benefits of our investments in new machinery and re-tooling with improvements
to both margin and cash flow".

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR"). The Directors of the Company
take responsibility for this announcement.

For further information, please contact:

 Enquiries:                             www.coralproducts.com   Tel:

 Coral Products plc                     Non-Executive Chairman  07703 518 148

 Joe Grimmond

 Cairn Financial Advisers LLP           NOMAD and Broker        020 7213 0880

 Sandy Jamieson / Ludovico Lazzaretti

 

Caution regarding forward looking statements

This announcement contains unaudited information and forward-looking
statements that are based on current expectations or beliefs, as well as
assumptions about future events. These forward-looking statements can be
identified by the fact that they do not relate only to historical or current
facts and undue reliance should not be placed on any such statement because
they speak only as at the date of this document and are subject to known and
unknown risks and uncertainties and can be affected by other factors that
could cause actual results, and Coral's plans and objectives, to differ
materially from those expressed or implied in the forward-looking statements.
Coral undertakes no obligation to revise or update any forward-looking
statement contained within this announcement, regardless of whether those
statements are affected because of new information, future events or
otherwise, save as required by law and regulations.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  AGRBGGDXLSDDGUG