Flowtech Fluidpower PLC 2017 Q1 Trading Update (4524B)

TIDMFLO

RNS Number : 4524B

Flowtech Fluidpower PLC

04 April 2017

 
 Issued on behalf of Flowtech 
  Fluidpower PLC 
  Date: Tuesday, 4 April 2017 
  Immediate Release 
 

The information contained within this announcement is deemed by the Company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.

 
          FLOWTECH FLUIDPOWER PLC 
  ("Flowtech" or the "Group" or "Company") 
 
          Quarter 1 Trading Update 
 

The Board of Flowtech Fluidpower plc issues the following unaudited Trading Update covering the period from 1 January 2017 to the date of this announcement. The financial reporting period covers the first quarter to 31 March 2017.

Group revenue for the first quarter increased by approximately 31.8%. This performance was driven by positive momentum in all business divisions, enhanced by the contribution from our new subsidiaries.

 
                         Q1 2017   Q1 2016   Growth 
----------------------  --------  --------  ------- 
 Revenue                 GBP'000   GBP'000        % 
----------------------  --------  --------  ------- 
 Flowtechnology           10,079     9,082     11.0 
----------------------  --------  --------  ------- 
 Power Motion Control      6,279     4,069     54.3 
----------------------  --------  --------  ------- 
 Process                   1,120       107    947.2 
----------------------  --------  --------  ------- 
 Group revenue            17,478    13,258     31.8 
----------------------  --------  --------  ------- 
 
 Net debt                  5,500    13,290 
----------------------  --------  --------  ------- 
 

Our Flowtechnology division increased revenues by 11.1%. This has been driven by year on year organic growth in the base business and by the acquisition of Indequip on 19 February 2016. Despite significant increases in input price for product, gross margins have been maintained due to our flexible pricing model.

Power Motion Control division also increased revenues by 54.3%. Whilst this was substantially driven by the acquisition of HTL in January 2017, which has made a very encouraging start under our ownership, the remaining operations have also performed well in the period.

Our first Process division acquisition was made on 18 March 2016, therefore Q1 revenue for 2016 represents only two weeks trading. Performance in this division also remains very encouraging.

Group gross margin achieved remains in line with market expectations.

Sean Fennon, CEO

Flowtech Fluidpower plc

Note: The Group has today also released its Final statement of results for the year ended 31 December 2016

http://www.rns-pdf.londonstockexchange.com/rns/4524B_1-2017-4-3.pdf

 
 Enquiries: 
 Flowtech Fluidpower plc 
  Sean Fennon, Chief Executive 
  Officer 
  Bryce Brooks, Chief Financial 
  Officer 
  Tel: [phone] 
  AIM: symbol: FLO 
  email: [e-mail] 
  website: www.flowtechfluidpower.com 
 
 Zeus Capital Limited (Nominated 
  Adviser and Broker) 
  Andrew Jones, Jonathan Sharp 
  (corporate finance) 
  Dominic King, John Goold (sales 
  & broking) 
  Tel: [phone] 
 
  finnCap Limited (Joint Broker) 
  Ed Frisby, Kate Bannatyne (corporate 
  finance) 
  Rhys Williams, Emily Morris 
  (sales & broking) 
  Tel: [phone] 
 
  TooleyStreet Communications 
  (IR and media relations) 
  Fiona Tooley 
  Tel: [phone] 
  or email: [e-mail] 
 
 
 
 EDITORS' NOTE 
  Flowtech Fluidpower plc, founded as Flowtech in 1983, 
  is the UK's leading specialist supplier of technical 
  fluid power products. The Group has three divisions: 
  Flowtechnology, Power Motion Control and Process. 
  All three of the Group's divisions have overlapping 
  product sets, allowing procurement synergies to be 
  maximised. 
 
  The Flowtechnology division focuses on supplying 
  distributors and resellers of industrial MRO (maintenance, 
  repair and operation) products, primarily serving 
  urgent orders rather than bulk offerings. It is formed 
  from Flowtechnology UK, Flowtechnology Benelux and 
  Indequip. It offers an unrivalled range of Original 
  Equipment Manufacturer (OEM) and Exclusive Brand 
  products to over 3,400 distributors and resellers 
  and the catalogues are recognised as the definitive 
  source for fluid power products, containing 100,000 
  individual product lines and are distributed to more 
  than 80,000 industrial Maintenance, Repair and Overhaul 
  end users (MRO). The Power Motion Control division 
  specialises in the design, assembly and supply of 
  engineering components and hydraulic systems and 
  is further enhanced by a service and repair function. 
  The division is formed from Primary Fluid Power, 
  Nelson Hydraulics, TSL Fluidpower and HTL. The Process 
  division focuses on the supply of industrial components 
  to the process sectors. 
 
  The Group's main distribution centre is in Skelmersdale, 
  Lancashire with further distribution centres in the 
  Netherlands and China. The Power Motion Control division 
  (PMC) has operations in Merseyside, Northern Ireland, 
  the Republic of Ireland, Shropshire and Yorkshire; 
  Process operates from the West Midlands. In total 
  the business employs 319 people. 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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April 04, 2017 02:01 ET (06:01 GMT)