Hargreaves Services PLC Half Year Trading Update and Results Notification (4400J)

TIDMHSP

RNS Number : 4400J

Hargreaves Services PLC

05 December 2018

5 December 2018

Hargreaves Services plc

("Hargreaves" or the "Group")

Pre-Close Trading Update and Notification of Interim Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, provides the following update on trading ahead of reporting its interim results for the six months ended 30 November 2018.

Trading has been satisfactory, and the Board expects to report interim results in line with its expectations. Both revenue and Underlying Operating Profit* are expected to show growth over that reported for the six months ended 30 November 2017, deriving from improved trading within the Group's UK businesses. The Board also confirms that it expects the Group's full year results to be in line with expectations.

As previously reported, the Group will record an exceptional charge of approximately GBP8m relating to the insolvency of Wolf Minerals (UK) Ltd. Additionally, the previously reported sale of Brockwell Energy Limited, which gave rise to a gain on disposal of approximately GBP4m, will be accounted for as the disposal of a discontinued operation.

Net debt at the half-year end was GBP28.6m, against GBP30.8m at 31 May 2018. As expected, the Group has experienced an increase in working capital in the first half of the year. Further sales of Legacy assets are expected to occur in the second half of the financial year.

The Group expects to report interim results for the six months ended 30 November 2018 on Wednesday 30 January 2019. A briefing for analysts will be held at 10.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000 or email [e-mail].

*Underlying Operating Profit is defined by the Board as Operating Profit prior to exceptional items, amortisation and impairment of intangible assets and includes the Group's share of the operating profit of its German associate. It is a key indicator used by the Board to measure business performance.

For further details:

 
 Hargreaves Services plc 
  Gordon Banham, Chief Executive 
  John Samuel, Group Finance Director          0191 373 4485 
 Buchanan (Financial PR) 
  Mark Court/Sophie Wills/Henry Wilson         0207 466 5000 
 N+1 Singer (Nomad and Joint Corporate 
  Broker) 
  Sandy Fraser/Justin McKeegan/Rachel Hayes    0207 496 3000 
 Investec (Joint Corporate Broker) 0207 597 5970 
  Sara Hale/Helene Comitis 
 

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December 05, 2018 02:00 ET (07:00 GMT)