The Alumasc Group Plc – Interim Management Statement
THE ALUMASC GROUP PLC
“Alumasc has made a strong start”
Alumasc (ALU.L), the premium building and engineering products company, is holding its Annual General Meeting at 10.30am today and is publishing its first Interim Management Statement, as required by the UK Listing Authority’s Disclosure and Transparency Rules, in relation to the year ending 30 June 2008.
* Benefiting from the rising order books reported in September’s Preliminary Announcement, Alumasc has made a strong start to the current financial year. Revenues from continuing operations in the first quarter to 30 September 2007 increased by 25% to over £30 million with profits also well ahead, driven by further growth in the Building Products division, including a good first-quarter performance from Levolux.
* On a like-for-like basis, excluding Levolux (the UK’s leading supplier of solar shading systems acquired on 1 May), group revenues from continuing operations increased by approximately 7%.
* Building Products’ divisional revenues increased by over 50% to £21 million. Excluding Levolux, divisional revenues grew by almost 20%, driven by a strong start to the year in the rainwater and drainage businesses, particularly Slotdrain, and early signs of an improvement in demand for MR Façade systems which are sold into the social housing refurbishment sector.
* Engineering Products’ divisional revenues from continuing operations reduced by 15% to £9.8 million, reflecting the expected slower start to the year at Alumasc Precision prior to the new projects with Aston Martin, Deutz and Caterpillar coming fully on-stream. This division’s performance will also benefit from the efficiency improvement programme currently under way.
* The sale of Brock is now fully complete with all sales proceeds received as anticipated at the year end. The former Copal warehouse in Birmingham was sold in September, as expected, for its book value of £0.7 million.
* Group net debt reduced to £11.1 million (30 June 2007: £12.9 million), in line with the strong trading performance.
John McCall, Chairman, commented: “Alumasc has performed well in the first quarter, particularly in the Building Products division. Levolux has continued its good start within the group and it is reassuring to see early signs of an improvement in social housing demand. Whilst it is too early to judge whether higher interest rates and the recent turbulence in financial markets will affect economic activity later in the year, order books currently remain strong.”