SAUSAGE skin maker Devro has reported that it is on track to deliver on its cost savings target for the year after trading in line with expectations so far this year, writes Kevin Scott.

Last year, Devro recorded revenue of £256.9m as profits slid 7.6 per cent to £26.7m.

The Moodiesburn-based group, which is listed on the London Stock Exchange, said its Devro 100 programme continues to progress well. The three-pronged programme is focussed on revenue growth, manufacturing efficiency and introducing a new generation of products – the group claims to make more than 1,500 different types of collagen-based sausage skin.

In a trading update ahead of its annual meeting, Devro noted good progress was being made at its plant in the US while its plant in China has performed well.

“Whilst recognising the ongoing pressures from input cost inflation and exchange rate volatility, the board remains confident that Devro is well placed to make good progress in 2018.”

A number of boardroom changes have been made at the group recently, with Rutger Helbing moving from group finance director to chief executive, replacing Peter Page, who stepped down last year. Jackie Callaway will join Devro as chief financial officer on May 1.

All resolutions at the annual meeting yesterday were passed by shareholders.