Straight PLC Trading Statement and contract awards (6332Z)
10 February 2014 - 6:00PM
UK Regulatory
TIDMSTT
RNS Number : 6332Z
Straight PLC
10 February 2014
Date: 10 February 2014
On behalf of: Straight plc ("Straight" the "Company" or
"the Group")
Embargoed until: 0700hrs
Straight plc
Trading Statement and contract awards
-- 2013 Group revenue and EBITDA in line with expectations
-- Significant contract awards
-- Renewal of three YPO framework agreements
Straight plc, the environmental products and services group and
the UK's leading supplier of specialist waste and recycling
container solutions, is today providing an update on trading ahead
of its preliminary results announcement on 31 March 2014.
The Group is pleased to report that revenue is in line with
market expectations. Group EBITDA is also anticipated to be in line
with market expectations and has held up well in the second half of
the year.
In addition, the Group is pleased to report that 2014 has begun
well with the award of two major contracts totaling more than GBP2
million revenue. Both of the contracts have been won under the ESPO
framework agreement which was announced 13 January 2014. Further
significant contracts are under negotiation and the order book is
building well and in line with internal forecasts.
The first major contract is a GBP1.4 million contract with
Birmingham City Council will supply over 300,000 of the Straight
Wheeled Bin Inner Caddy between May 2014 and November 2015, and
will take the total sales of this caddy since it was introduced in
2007 to more than two million units. This contract award follows
the success of a trial of 17,000 households where the product
proved extremely popular with residents. The Wheeled Bin Inner
Caddy is a pioneering design introduced by Straight plc, which
provides a dual-stream co-mingled collection with no increase in
container footprint beyond that of a standard wheeled bin. In this
case paper and card will be collected separately from the other
mixed recyclables.
The second major contract is with Gravesham Borough Council
which has contracted Straight to supply GBP820,000 of various
products in 2014 including the Kitchen Caddy and Kerbside Caddy for
food waste, wheeled bins and home delivery services. In addition to
these two major contract wins, the Yorkshire Purchasing
Organisation (YPO) has renewed three framework agreements for a
further 12 months, covering recycling containers, compostable
liners and steel bins.
In addition to these two major contract wins, the Yorkshire
Purchasing Organisation (YPO) has renewed three framework
agreements for a further 12 months, covering recycling containers,
compostable liners and steel bins.
Jonathan Straight, Chief Executive of Straight plc
commented:
"Our focus remains on profitably growing revenues in all of our
diverse markets, and our recent contract wins and future pipeline
provide a strong foundation for the year ahead. These wins
highlight our market leading expertise in the provision of stellar
recycling products and we look forward to maintaining momentum in
the year ahead."
For further information, please contact:
Straight plc
Jonathan Straight, Chief Executive 0113 245 2244
Redleaf Polhill
Rebecca Sanders-Hewett
Jenny Bahr
Rachael Brown 0207 382 4730
Cenkos Securities
Ivonne Cantu (Nomad) 0207 397 8980
Christian Hobart (Sales)
Notes for editors:
About Straight plc
-- Straight plc provides environmental products and services to
both the UK market and overseas.
-- The Group is the UK's leading manufacturer and supplier of
specialist kerbside recycling containers, as well as being a key
supplier of a broad range of waste and recycling container
solutions.
-- Founded in 1993 by the current Chief Executive, Jonathan
Straight, the business has since supplied more than 25 million
kerbside boxes, baskets and caddies to local authorities across the
UK, securing its position as the industry leader.
-- The business operates through two divisions:
- The core Trade Business supplying products in bulk to local
authorities, utilities, the waste industry, retailers and other
businesses
- The Retail Business supplying a range of proprietary
environmentally friendly consumer products directly to the public,
often in partnership with a local authority or a utility.
-- Almost two thirds of the products the Group supplies are now
produced in Straight's own factory.
-- Straight plc has established diverse overseas sales channels
for its products, some of which are manufactured locally to their
markets in North America and in Australia. Other markets are
serviced from UK production.
-- Straight plc is a founding member of the Social Stock
Exchange, an online portal to promote investment in businesses with
social or environmental impacts.
Further information about the company and its products can be
found at: http://www.straight.co.uk/
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCEAEANESPLEAF
Straight Plc (LSE:STT)
Historical Stock Chart
From Jun 2024 to Jul 2024
Straight Plc (LSE:STT)
Historical Stock Chart
From Jul 2023 to Jul 2024