Plastic film makers DuPont Teijin Films UK Limited saw profit after tax tumble by around £1.3m last year, as weak demand and low pricing was felt in its accounts.
The Teesside-based manufacturer, which supplies photovoltaic cells and synthetic films used in packaging, saw profits fall from £2.7m to £1.4m in 2014.
Turnover fell by 4.8% to £73.9m during the period as the firm said weak demand in the photovoltaic cell market and slow growth in other industrial applications, as well as lower than expected pricing in the packaging markets.
In accounts filed at Companies House the Wilton firm, a joint venture between Japanese chemicals firm Teijin and US chemical firm DuPont, show the company’s net assets were £75m, down from £80m.
The results represent something of a rollercoaster trading performance for the firm, which undertook a £3.1m restructuring project after turnover fell £27m in 2012.
A report which accompanied the accounts said: “The directors remain confident the company will maintain a satisfactory level of performance in the future with a strong and continued focus on new product developments.
“The company continues to invest in its capital equipment to improve operating efficiency. The external commercial environment is expected to be very competitive in 2015 with slower volume growth expected in all worldwide markets.
“Focus within the company will be on maintaining market share and price achievement in its existing markets, along with new product developments in certain market sectors.”
The firm shed a number of production and administration staff during the year which took the total average workforce from 329 to 292.
In 2011 DuPont Teijin Films won the prestigious Queen’s Award for Enterprise: Innovation. It received the accolade for the development of an innovative range of high-performance Melinex® polyester films for solar photovoltaic modules.
Film products from the Wilton site are used in a wide range of applications from x-ray films to yoghurt lids and plastic drinks bottles.
DuPont Teijin Films’ North East base is one of the largest centres of polyester film research outside of Japan.
The directors of the firm recommended no dividend payment for the year, as has been the case for the last three years.