Medical gloves boost Ansell's first-half profits

ERJ staff report (DS)

Richmond, Australia -- Ansell Ltd has reported solid profit growth for the six months ended December 2008 on increased sales. Peter Barnes, chairman said “The first half results were good given the stalling global economy. However, the second half outlook, with lower Occupational sales and actions taken to reduce excess Occupational inventories, requires a more cautious view."

The company reported sales of A$337.8 million (euro 170 million) for the six month period, up from A$ 297.3 recorded a year earlier. Earnings before tax (EBIT) was also up to A$43.8 million from A$40.2 million a year earlier.

Ansell said it is exiting some Americas Region examination glove accounts due to unacceptable margins. This planned activity affected sales, but helped double profitability. Sales in the professional healthcare segment rose to A$ 220.1 million fA$198.1 million, but profits rose to A$21.8 million from just A$9.8 million a year earlier

Ansell said, "With a steady stream of new products and additional capacity, surgical glove volumes grew across the board with a significant (38%) jump in synthetics, which include high end polyisoprene gloves. "