Halstead wary on raw material costs

Floorings specialist James Halstead expects to hit market expectations this year, but warned of sharp rises in raw material costs, especially plastics and polymers where there are also supply problems."Although we are pleased with the progress made in sales growth, we are experiencing raw material prices ahead of our expectations, particularly for plasticisers and polymers and in some cases there have been restrictions in availability. Whilst the situation is currently manageable, it is not ideal and may continue for several months," Halstead said."Overseas sales have matched or exceeded expectations with increased global demand and the assistance of favourable exchange rates. We have increased sales in most markets despite the difficult economic conditions. Europe has seen strong growth, as well as North America, the Middle East and Asia," it added."Overall, we have started our new financial year confidently despite the global recessionary backdrop, and we continue to focus on the further growth of our business in the coming year," the statement concluded.