Halma PLC Trading Statement (5086T)

TIDMHLMA

RNS Number : 5086T

Halma PLC

21 March 2019

Halma, the leading safety, health and environmental technology group, today releases its trading update, for the period from 1 October 2018 to date.

Halma has made good progress in the period. Based on current trading and forecasts, the Board expects adjusted profit before tax for the year ending 31 March 2019 to be in line with market consensus expectations (see notes 1 and 2).

There has been widespread revenue growth geographically. The USA and the UK have seen the strongest growth, with more moderate growth in Mainland Europe and Asia Pacific. Order intake has remained ahead of revenue and the same period last year. There has been a positive currency translation effect on Group revenue and profit in the second half, resulting in a broadly neutral effect for the year as a whole.

The Safety sectors have performed in line with expectations, with the strongest progress in Infrastructure Safety, supported by positive contributions from recent acquisitions. Process Safety is expected to deliver a satisfactory performance for the full year despite planned reorganisation costs in the second half. The Medical and Environmental & Analysis sectors remain on track to deliver good full-year performances.

We made three acquisitions in the second half, all in Infrastructure Safety, for a total initial consideration of approximately GBP62 million. The acquisitions of Limotec and Navtech were reported in the Group's half year results announcement. In January 2019, we announced the acquisition of Rath Communications, a provider of emergency communication systems for Areas of Refuge in the USA, for US$42.4 million (GBP32.6 million). The integrations of all acquisitions made during the year are progressing well, and the acquisition pipeline remains healthy in all four sectors.

The Group's financial position is robust and cash generation remains strong, supporting investment in both organic and acquisitive growth.

The results for the year ending 31 March 2019 will be released on 11 June 2019.

 
 For further information, please 
  contact: 
 Halma plc 
 Andrew Williams, Chief Executive    Switchboard: [phone] 
 Marc Ronchetti, Chief Financial 
  Officer 
 Charles King, Head of Investor      Mobile: [phone] 
  Relations 
 
   MHP Communications 
 Rachel Hirst/ Andrew Jaques         [phone] 
 

About Halma

Halma is a global group of life-saving technology companies, focused on growing a safer, cleaner and healthier future for people worldwide. Our innovative products and solutions address many of the key issues facing the world today. We operate in four sectors: Process Safety, Infrastructure Safety, Medical and Environmental & Analysis. We employ over 6,000 people in more than 20 countries, with major operations in Europe, the USA and Asia-Pacific. We target global niche markets where sustainable growth and high returns are supported by long-term drivers. Halma is listed on the London Stock Exchange and has been a member of the FTSE 100 index since December 2017.

Notes

1. Adjusted profit before tax is before amortisation and impairment of acquired intangible assets, acquisition items, restructuring costs and profit or loss on disposal of businesses.

2. The Board believes current market forecasts for adjusted profit before tax for the year ending 31 March 2019 to be in the range of GBP240.1 million to GBP253.4 million, with a consensus of GBP243.7m.

3. This Trading Update is based upon management accounts information. Forward-looking statements have been made by the Directors in good faith using information available up until the date that they approved this statement. Forward-looking statements should be regarded with caution because of the inherent uncertainties in economic trends and business risks.

4. A copy of this announcement, together with other information about Halma, may be viewed on our website www.halma.com

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 [e-mail] or visit www.rns.com.

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March 21, 2019 03:00 ET (07:00 GMT)