DEVRO PLC — AGM Information 2013

Apr 18, 2013

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RNS Number : 6284C

Devro PLC

18 April 2013

For immediate release                                                                        18 April 2013

Devro plc

(the "Group")

Interim Management Statement and Annual General Meeting

Devro plc, one of the world's leading manufacturers of collagen products for the food industry, today issues the following Interim Management Statement for the period from 1 January 2013 to date, ahead of its Annual General Meeting to be held at 11.00am.  Steve Hannam, Chairman of Devro, will make the following statement on current trading.

"Devro's global sales have continued to grow during the period.  This has been underpinned by good growth in much of Europe and North America, offset by a slower start in the UK and Australia. Select has begun the year well, particularly in Germany where it continues to make good progress.

"The major capital investment programme in the Czech Republic is proceeding as planned, with significant additional volume scheduled to come on stream in the second half of this year in order to support further growth in 2014.

"As announced at the time of the 2012 preliminary results, we have now implemented the planned price increases we referred to at that time. Input costs have also risen broadly in line with our expectations.

"Manufacturing performance, however, has been held back by lower yields, particularly in the USA, which has restricted product available for sale and impacted unit costs.

"We remain confident that the Group will meet the board's expectations for the full year. Whilst profits for the first quarter of the year are below the corresponding period in 2012 due to lower production yields, remedial action has already been taken and, with the benefits of recent price rises, additional volume from extra capacity and a focus on improving production processes, we do expect stronger performance as the year progresses.

"Net debt and cash flow are both as expected and the financial position of Devro continues to be strong."

Peter Page, Chief Executive, commented "Sales continue to grow in volume and value terms across the Group and our investments in people and infrastructure will ensure we have the necessary capability to take advantage of the significant opportunities that exist."

ENDS

For further information, please contact:

Devro plc Peter Page, Chief Executive Simon Webb, Group Finance Director	Tel No: 0207 182 4960
Buchanan Diane Stewart/ Carrie Clement/ Charles Ryland	Tel No: 020 7466 5000/0131 226 6150 www.buchanan.uk.com

Notes to Editors

FTSE 250 listed Devro is one of the world's leading providers of collagen casings to the food industry supplying a wide range of products and technical support to manufacturers of sausages, salamis, hams and other cooked meats. The Group employs 2,200 staff across the world and produces its casings from 5 manufacturing sites based in Scotland, Australia, the Czech Republic and the USA.  Devro reported sales of £241.1 million and profit before tax (excluding pension interest) of £42.2 million for the year ended 31 December 2012.  Devro is a constituent of the FTSE4Good Index Series which recognises that the company's performance meets globally recognised corporate responsibility standards.

Further information on Devro can be found on the company's website: www.devro.com

This information is provided by RNS

The company news service from the London Stock Exchange

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