Solid State PLC Trading Update & Notice of Results (4714X)
30 April 2019 - 4:00PM
UK Regulatory
TIDMSOLI
RNS Number : 4714X
Solid State PLC
30 April 2019
Solid State plc
("Solid State", the "Company" or the "Group")
Trading Update, Notice of Results
& Investor Relations Events
Solid State plc (AIM: SOLI), the AIM listed manufacturer of
computing, power and communications products, and value added
distributor of electronic components, is pleased to announce a
trading update for the year ended 31 March 2019 and notice of the
announcement of these results.
The Board is pleased to announce that the Group profit for the
financial year ended 31 March 2019 will be slightly ahead of
recently upgraded market consensus forecasts which are GBP3.5
million adjusted profit before tax. This result is particularly
pleasing as market forecasts were upgraded twice in the second half
of the 2018/19 financial year.
Year-on-year Group revenue is expected to be ahead of
expectations at circa GBP56 million, representing growth of over
20% on a reported basis (2018: GBP46.3m) and reflecting close to
10% organic growth (excluding the Pacer Technologies Ltd ("Pacer")
acquisition). The Group benefitted from particularly strong Value
Added Distribution sales in Q4.
In the Manufacturing division, progress in enhancing operating
margins noted in the interim results has been maintained and
efficiencies in the Power business unit are being delivered as a
result of the capital investment in plant and equipment.
The integration of Pacer into the Value Added Distribution
division is progressing as planned. The brand new facility in
Weymouth began production in March 2019 and this facility, together
with the Solid State Supplies value added capability in Redditch,
gives the Group class leading operations in electronics
distribution.
Cash generation in the last quarter has been much stronger than
expected. Some of this strength is due to timing benefits resulting
from pro forma payments from customers, however the underlying cash
generation was also very pleasing. As a result, in April 2019, the
Group made an early repayment of GBP2.0m of the highest price
element of the term loan taken out in respect of the acquisition of
Pacer. Having done this, the Group has been able to extend the
undrawn revolving credit facility and therefore maintain the
Group's overall funding flexibility.
The open order book at the 31 March 2019 of GBP35.9m (31 March
2018: GBP25.6m - restated to include Pacer, acquired in November
2018, on a like for like basis) places us in a good position as we
commence our new financial year.
The Board is confident that its long-term strategy will continue
to deliver organic growth and that this can be complemented by
further targeted acquisitions. The success of the organic growth
strategy is now in evidence and the Board also continues to
actively engage with potential acquisition targets that offer a
complementary fit to the Group's product offering, client base and
structure.
Notice of Results:
Solid State plc will announce its results for the year ended 31
March 2019 on Tuesday 2 July 2019.
Capital Markets Lunch:
A presentation of the results and an update on prospects will be
held on Monday 8 July 2019 in the City. Those keen to attend should
contact Tom Cooper on tom.cooper@walbrookpr.com or 0797 122
1972.
Investor Site Visits:
Solid State conducts site visits for investors at its Redditch
head office where operations for both the value added distribution
and manufacturing operations can be seen. Those interested in
attending should contact Tom Cooper on tom.cooper@walbrookpr.com or
0797 122 1972.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
For further information please contact:
Solid State plc 01527 830 630
Gary Marsh - Chief Executive investor.information@solidstateplc.com
Peter James - Group Finance Director
WH Ireland (Nominated Adviser & Joint
Broker) 0117 945 3470
Mike Coe / Chris Savidge (Corporate
Finance)
Jasper Berry / David Kilbourn (Corporate
Broking / Sales)
finnCap (Joint Broker)
Ed Frisby (Corporate Finance)
Rhys Williams (Corporate Broking /
Sales) 020 7220 0500
Walbrook PR (Financial PR) 020 7933 8780
Tom Cooper / Paul Vann 0797 122 1972
tom.cooper@walbrookpr.com
Notes to Editors:
Solid State plc (SOLI) is a value added electronics group
supplying industrial and military markets with ruggedised/durable
components, assemblies and manufactured units for use in harsh
environments. The Group's mantra is - 'Trusted technology for
demanding applications'.
Operating through two main divisions: Manufacturing (Steatite)
and Value Added Distribution (Solid State Supplies & Pacer);
the Group specialises in complex engineering challenges often
requiring design-in support and component sourcing for computing,
power, communications, electronic and optoelectronic products.
Headquartered in Redditch, Solid State employs over 200 staff
across the UK with a branch office in the USA, serving niche
markets in oil & gas production, transportation, medical,
construction, security, military and field maintenance.
Solid State was established in 1971 and admitted to AIM in June
1996. The Group has grown organically and by acquisition - having
made 10 acquisitions.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
TSTEAPLNAAFNEFF
(END) Dow Jones Newswires
April 30, 2019 02:00 ET (06:00 GMT)
Solid State (LSE:SOLI)
Historical Stock Chart
From Jun 2024 to Jul 2024
Solid State (LSE:SOLI)
Historical Stock Chart
From Jul 2023 to Jul 2024