Leicester tissue giant LPC back in profit
One of the UK's largest manufacturer of tissue products has returned to profit.
LPC Group, which runs factories in Hamilton, in Leicester, and Mountsorrel, also said sales in the year to September 30 had risen by 11% to more than £230m.
The company, which grew by 35% in the previous 12 months, said it was now targeting sales of £300m this year.
LPC made a £4.18m loss in the year to September 2008 after a series of major investments in the first six months of its financial year. Bosses today said they were back in profit, but would not disclose a figure.
SUNDAY OPEN BUFFET EAT AS MUCH AS U CAN £6.99PP & A LA CARTE...View details
Come & Try our Delicious Menu with an Amazing 15% off all Food Bills on a la carte menu only
Terms: Lebanese & Mediterenian Menu With An Amazing 15% Off Your Food Bills on a la carte menu only
Contact: 0116 2169184
Valid until: Sunday, May 26 2013
The group has seen sales more than treble over the past eight years, thanks to a £75m investment programme.
It has invested in the latest manufacturing technology, expanded its Leicestershire operation and acquired tissue producers on the Continent.
Executive chairman Amin Tejani said: "The business growth we have experienced in recent years is due to the unrelenting focus we place on our customer needs in terms of service and quality.
"This is backed by investment to ensure we have a state-of-the-art manufacturing platform to deliver and exceed our customer expectations."
Finance director Arvind Vij said the investments had helped to shield the business from the global downturn.
"We are now benefiting from this strategy and I remain satisfied by our current trading, which is holding up well despite the very difficult economic climate," he said.
"We will exit the financial year with a strong balance sheet."
In recent years, the group, which employs 640 people in Leicestershire, has built a 475,000sq ft factory in Rothley Lodge, Mountsorrel.
It has acquired tissue businesses in France, Belgium and Sweden.
Chief executive Peter Spencer, who was appointed this year, has said he was on the lookout for further takeovers.
He joined from Teleflex Automotive, where he spent five years as group president, and has previously worked for Ford and Howard Anderson Group,
Speaking in April, Mr Spencer said: "When I saw the opportunities on offer here, I wanted in. I'm glad I've been given the chance to take LPC to the next level."
Mr Spencer replaced John Danton, who died in May last year, aged 56, from a heart attack.
LPC produces three million toilet and kitchen rolls a day at its two Leicestershire factories.
The group has turned its 1.2m sq ft factory site in Hamilton Industrial Estate into the most advanced of its kind in the country.
LPC is the biggest independent manufacturer of tissue products in the UK.
It supplies major supermarkets, convenience stores, cash and carry outlets and chemists. Toilet tissue makes up half of its sales, kitchen rolls account for 25% and the rest comes from facial and other soft tissue products.
The products are sold under labels of the stores which stock them.
LPC was founded in 1980 after company president Shiraz Dharamshi Tejani and his brothers had problems getting tissue for their father's chemist shops.
They launched a small manufacturing business in Norman Street, Leicester, selling to small stores.