De La Rue turnaround continues under Vacher

De La Rue's operating profit is expected to come in at the top end of market expectations for the year ending March 27, despite paying £13m (nearly $18m) to shutter its banknote printing operations in Gateshead, UK.

The security printing and authentication technology specialist says its expects operating profit in fiscal 2020/21 close to £37m, and it will end the year with lower-than-predicted debt in the region of £53m, £21m lower than market expectations thanks to lower capital expenditures.

De La Rue also said that it had repaid all of the money it received from the UK government's coronavirus job retention scheme of around £400,000. Full-year results are due to be reported on May 26.

Chief executive Clive Vacher has been tasked with turning around the fortunes of De La Rue since coming on board in October 2019, and has implemented a cost-cutting drive, restructured the business and raised new funding.