Airea looking to benefit of multimillion-pound investment effort as sales grow

Flooring manufacturer Airea says investment into its factory capabilities is expected to bring benefits in the third quarter, following strong sales growth but a fall in profits.

The carpet tile specialist which owns the Burmatex brand saw 6% sales growth in the second half of 2024, despite a weaker first half in which bosses say announcement of the General Election had brought about cancellations in key public sector work. Full year revenue was up 0.6% to £21.2m and operating profit before valuation gain was down from £1.8m to £700,000, having been impacted by £900,000 worth of costs associated with investment.

Airea has been implementing a £5m overhaul of its factory set-up with the introduction of new equipment, including robotics. The work has impacted the AIM-listed firm's bottom line in the short term, but CEO Médéric Payne told BusinessLive he was eager to get the systems running - as commissioning of the equipment could start from June.

In full year 2024 results, investors were told of momentum behind the business - and were given a final dividend of 60p per share, up from 55p per share in 2023 and the fourth consecutive year of dividend growth. Airea has said it is well placed