Pilkington continues to make good progress through further improvement in manufacturing efficiency and cost reduction, according to its group CE Stuart Chambers. In his latest trading statement, Mr Chambers says trading is in line with expectations and first half pre-tax profits will be in line with those in the first half of the previous financial year. "The group's continuing emphasis on the generation of free cash flow will enable us to report another strong cash performance," he says. Building products markets outside Europe are starting to improve and continuing efficiencies and cost savings will limit the impact on Pilkington of continuing weak demand in Europe to a decline in operating profit of around 5% for the business line as a whole. Float glass prices in the EU remain stable at similar levels to last year, but have weakened in the UK.
