Macfarlane Group, the Glasgow-based protective packaging, design and distribution firm, said its 2024 revenue slipped 4% to £270.4 million but profit before tax increased 3% to £20.9 million.

The firm is proposing a final dividend of 2.70p per share, taking the total dividend for 2024 to 3.66p per share, up 2% on 2023.

In its outlook, Macfarlane said: “We expect 2025 to be another challenging year within the markets in which we operate, particularly with increased employment costs resulting from the recent UK budget and the introduction by the UK Government of Extended Producer Responsibility (EPR) fees. 

“Management is taking actions to mitigate these incremental costs and we are working with our customers to help them manage the impact of EPR.

“We start 2025 with new-business momentum as customers increasingly recognise the added-value we can offer both on an environmental and cost-savings basis.

“The recently-announced purchase of The Pitreavie Group Limited demonstrates our continued ability to identify and execute high-quality acquisitions and we have a strong pipeline of opportunities.

“We are well positioned to continue our profitable growth in 2025.”