Avingtrans PLC Trading Update and Notice of Results (5392E)

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RNS Number : 5392E

Avingtrans PLC

08 July 2021

8 July 2021

Avingtrans plc

("Avingtrans", the "Company", or the "Group")

Trading Update and Notice of Results

Avingtrans plc (AIM: AVG), which designs, manufactures and supplies critical components, modules, systems and associated services to the energy, medical and industrial sectors, is pleased to announce a trading update in respect of the financial year ended 31 May 2021.

The Board is pleased to report that the results for the year ended 31 May 2021 are expected to be at least in line with market expectations, revised upwards following the announcement of the Company's interim results in February 2021.

The Group's year end net cash position was strong, standing at in excess of GBP23 million compared to net debt of GBP7.4 million as at 31 May 2020. Cash balances benefited from the successful sale of Peter Brotherhood Limited in March 2021, which resulted in net proceeds to the Company of GBP30.6 million. The Group's current orderbook and prospect pipeline remains robust.

As outlined in the Company's interim results, the Board is pleased to confirm the reinstatement of the Company's progressive dividend policy, following the dividend suspension last year due to Covid-19. A dividend will be recommended for the year ended 31 May 2021, which will also include an amount to reflect the non-payment of an interim dividend. The Company intends to reinstate more usual dividend payments in the current financial year, with an interim and full year dividend split, subject to maintaining appropriate financial headroom and flexibility in light of any future acquisition opportunities.

Notice of Results

Avingtrans will publish its results for the twelve months ended 31 May 2021 on 29 September 2021.

The management team will be hosting a presentation for analysts on the day of results - for more information please contact Zach Cohen at IFC Advisory on [e-mail] .

Steve McQuillan, CEO of Avingtrans, commented : "We are delighted with the strong performance of the Group which will report results for the year ended 31 May 2021 in line with the previously upgraded market forecasts. Net cash in the business remains healthy which was strengthened following the successful sale of the Peter Brotherhood business in March.

"The Group is in a very good position to execute its PIE (pinpoint-invest-exit) strategy and its pipeline of opportunities is strong. The Board remains confident on the outlook for the Group which is reflected in the reinstatement of the full year dividend."

Enquiries:

 
 Avingtrans plc                                01354 692391 
 Roger McDowell, Chairman 
  Steve McQuillan, Chief Executive Officer 
  Stephen King, Chief Financial Officer 
 Singer Capital Markets (Nominated Adviser)    020 7496 3000 
 Shaun Dobson/Alex Bond (Corporate Finance) 
  Rachel Hayes (Corporate Broking) 
 IFC Advisory Ltd 
  Graham Herring 
  Tim Metcalfe 
  Zach Cohen                                   020 3934 6630 
 
 

About Avingtrans plc:

Avingtrans designs, manufactures and supplies original equipment, systems and associated aftermarket services to the energy, medical and industrial markets worldwide.

Business units

 
Hayward Tyler - Luton & East Kilbride, UK and USA, China and 
 India 
 Specialises in the design, manufacture and servicing of performance-critical 
 motors and pumps for challenging environments. 
 
 Energy Steel, Inc - Rochester Hills, Michigan, USA 
 Provider of custom fabrications for the nuclear industry, specialising 
 in: OEM parts obsolescence; custom fabrications; engineering 
 design solutions; product refurbishment; on-site technical 
 support. 
 
 Stainless Metalcraft Ltd - Chatteris, UK and Chengdu, China 
 Provider of safety-critical equipment for the energy, medical, 
 science and research communities, worldwide, specialising in 
 precision pressure and vacuum vessels and associated fabrications, 
 sub-assemblies and systems. 
 
 Booth Industries - Bolton, UK 
 Designs, manufactures, installs and services doors and walls 
 which can be tailored to be: blast &explosion proof; fireproof; 
 acoustically shielded; high security/safety; or combinations 
 of the above 
 
 Ormandy Group, Bradford, UK 
 Design, manufacturers and servicing of off-site plant, heat 
 exchangers and other HVAC (heating, ventilation and air conditioning) 
 products 
 
 Composite Products Ltd - Buckingham, UK 
 Centre for composite technology, parts and assemblies, serving 
 customers in industrial markets. 
 
 Magnetica Ltd - Brisbane, Australia 
 Magnetica Limited specialises in the development of next generation 
 MRI technologies, including dedicated extremity MRI systems 
 and MRI system components. Magnetica has successfully built 
 and tested a compact, integrated 3 Tesla orthopaedic MRI system, 
 demonstrating clinical-quality imaging. Commercialisation of 
 this system (and others) is on-going. Magnetica's structure 
 now includes two other business units: 
 
 Scientific Magnetics - Abingdon, UK 
 Designs and manufactures superconducting magnet systems and 
 associated cryogenics for a variety of markets including MRI 
 and provides services for Nuclear Magnetic Resonance instruments. 
 
 Tecmag Inc, Houston, USA 
 Designs, manufactures and installs instrumentation, including 
 consoles, system upgrades, and probes, mainly for Magnetic 
 Resonance Imaging (MRI) and Nuclear Magnetic Resonance (NMR) 
 systems. 
 

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July 08, 2021 02:00 ET (06:00 GMT)