Acal PLC Trading Update (3617U)
29 July 2015 - 4:01PM
UK Regulatory
TIDMACL
RNS Number : 3617U
Acal PLC
29 July 2015
For Release
7.00am, 29 July 2015
Acal plc
First Quarter Trading Update
Acal plc (LSE: ACL, "Acal" or the "Group"), one of the leading
international suppliers of customised electronics to industry,
today issues a trading update for the first quarter of the year
ending 31 March 2016, covering the period from 1 April 2015 to 30
June 2015.
Group reported sales for the period increased by 39% and by 51%
at constant exchange rates ("CER")(1) ; the difference being the
translational impact of a stronger Sterling during the period(2) .
On a like-for-like basis(3) , sales growth rates in Custom
Distribution and in Design & Manufacturing ("D&M") are
similar to growth rates in the second half of last year. For the
period, D&M sales comprised 45% of the Group total (FY 2014/15:
37%), with sales beyond Europe increasing to 15% of the Group total
(FY 2014/15: 12%).
Gross margin continues to be strong, and is higher than last
year.
Our two most recent acquisitions, Noratel and Foss, have both
started the new financial year well, with continued growth over
their comparable pre-acquisition periods last year.
Cross-selling activities continue to develop positively, with
further growth in both the cross-selling of D&M products
through the Custom Distribution division, and the cross-selling of
technologies to existing Custom Distribution customers.
Nick Jefferies, Group Chief Executive commented:
"Trading has started well, and as expected, although we remain
mindful of strengthening foreign exchange translation headwinds.
Additionally, each of our growth initiatives have made good
progress during the quarter and we expect this to continue
throughout the year. The order book remains strong and we have a
healthy pipeline of acquisition opportunities, with debt funding
resources available."
For further information, please contact:
Acal plc 01483 544 500
Nick Jefferies - Group Chief Executive
Simon Gibbins - Group Finance Director
Instinctif Partners 0207 457 2020
Mark Garraway
Helen Tarbet
James Gray
Notes
1. Growth rates at constant exchange rates ("CER"). Unless
stated, growth rates refer to the comparable prior year period.
2. The average sterling rate of exchange strengthened 9% against
the Euro for the 3 months ended 30 June 2015 compared with the
average rate for last year (rising from EUR1.275 to EUR1.385) and
strengthened 13% against Nordic currencies on average, negatively
affecting reported sales for this period by around 10% and
underlying operating profit by 14%.
3. Like-for-like growth for the Group is calculated at CER,
including the pre-acquisition periods of the Noratel Group and Foss
Group which were acquired last year (on 17 July 2014 and 7 January
2015 respectively).
Notes to Editors:
About Acal plc
Acal is a leading supplier of customised electronics to
industry. It designs, manufactures and distributes
customer-specific electronic products and solutions to 25,000
industrial manufacturers and is listed on the London Stock Exchange
(LSE: ACL).
Acal has two divisions: Custom Distribution and Design &
Manufacturing. The majority of its sales comes from products and
solutions which are either created uniquely for a customer or
sourced exclusively. Acal works across a range of technologies,
namely Communications & Sensors, Electromechanical, Imaging
& Photonics, Embedded Computers & Displays, and Power &
Magnetics.
Acal operates through the following wholly-owned businesses:
Acal BFi, Foss, Hectronic, MTC, Myrra, Noratel, RSG, Stortech and
Vertec. It has operating companies and manufacturing facilities in
a number of markets, including the UK, Germany, France, the Nordic
region, Benelux, Italy, Poland, Slovakia and Spain, as well as in
Asia (China, India, Sri Lanka and South Korea), the US and South
Africa.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTPKFDQABKDCOB