Cookson Group results at top end of expectations

Cookson Group, the leading materials technology company, has announced today that its 2007 results should be at the top end of forecasts helped by strong growth in world steel production as it weathered the weak dollar.

The group, which is headquartered in London, said the negative currency translation impact of the weaker dollar in the second half year has been largely offset by the strengthening against sterling of other currencies, notably the euro, in which the group generates significant profits.

The company added that their end-markets are currently showing good growth and the outlook for worldwide steel production, in particular, remains robust.

Cookson repeated its forecast for a 14-16% return on sales at its ceramics division which supplies steel producers, which are expected to see 6% growth in the latter half of 2007.

Furthermore, the company said the proposed £497 million acquisition of Foseco, which supplies products to the foundry and steel industries, was making good progress. It is expected the deal will be completed in the first half of 2008.

Cookson provides materials, processes and services to customers globally, its operations are formed into 3 divisions – electronics, ceramics and precious metals. The group employs more than 15,600 people in over 35 countries.

Shares in the company closed at 659p yesterday to value the business at £1.46 billion.

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