Croda has confirmed a good year of progress in 2015, a fraction ahead of our expectations. All key metrics show growth (CC sales +4.2%, PBT +8.8%), an impressive results in a challenging and unpredictable market environment. The main news in the statement is confirmation of a 100p special dividend (3.6% yield in isolation), reflecting the strength of the balance sheet and cash generative nature of the Group. Growth continues to be driven by innovation (New and Patent Protected Product sales growing at 4x underlying sales) and investment (£200m invested in organic and inorganic growth opportunities). Croda is a company of the highest quality and in our view fully deserving of its sector leading rating.
