A property sale has enabled tableware specialist Portmeirion Group to raise its first-half profits from �713,000 to �2.5 million pre-tax.

AIM-quoted Portmeirion increased its turnover 19 per cent to �14.5 million in the six months to June and lifted operating profits 12 per cent to �838,000. Pre-tax profits received a �1.8 million exceptional boost from the sale of a freehold site, earnings rose from 4.52p to 15.4p a share and the proposed interim dividend� increased 7.6 per cent to 3.55p a share.

The Stoke on Trent-based company is pleased with the success of its well-established ceramic ranges, such as Botanic Garden, in the UK and North America, and is cheered by the reception for its new ranges, particularly Sophie Conran, says chairman Dick Steele. Portmeirion, which brought a new 64,000 sq ft warehouse at Trentham Lakes into operation during the first half-year, has been coping with sharp increases in UK warehousing costs, but has mitigated the impact by streamlining domestic manufacturing and growing the outsourced element of turnover.

This is expected to reach 33 per cent of the full year, which should reflect the benefits of the new ranges developed in the UK and sourced in the Far East. At 327.5p, against 167.5p when Growth Company Investor highlighted it in 2004, Portmeirion shares value the company at �32 million.