UK currency printer reports increase in production

UK security printer De La Rue today said it was making more money than expected after seeing strong demand across all its businesses.

The group, which made underlying profits of £76.2m (€114m) in its last financial year, said its results would be “significantly ahead” of the City’s forecast for profits of around £90.7m (€136m) in the year to March 31.

Shares were 6% higher today as Basingstoke-based De La Rue said it was also confident about prospects for the next financial year.

The company is involved in the production of more than 150 national currencies and a wide range of security documents such as passports and travellers cheques. It also provides cash handling equipment and software to banks and retailers worldwide, helping customers to reduce the cost of handling cash.

De La Rue, which employs more than 6,000 people across 31 countries, also has a 20% shareholding in Camelot, the operator of the National Lottery.

In a trading update, De La Rue said its banknote and paper businesses were operating at full capacity and were likely to continue to do so for the rest of the period. It added there was also good visibility for the coming year.

In cash systems, second half revenues growth and operating margin have built on the impetus gained in the first half.