Keller Group PLC Trading Update

 
TIDMKLR 
 
For immediate 
release 
 
23 May 2018 
 
                               Keller Group plc 
 
                                Trading update 
 
Keller Group plc ("Keller" or "the Group"), the world's largest geotechnical 
solutions provider, issues a trading update ahead of its Annual General Meeting 
to be held at 11.00am today. 
 
The Group has had a positive start to the year, with like for like revenue 
growth, and modest profit growth, in the first four months of 2018, despite the 
adverse impact of poor weather across both North America and Europe and the 
wind down of the Caspian project. 
 
Tendering activity and contract awards remain healthy and the order book of 
work to be undertaken in the next 12 months, excluding the Caspian project and 
acquisitions, is 4% higher than at the same time last year. 
 
There have been no major changes in our markets since we reported the Group's 
2017 full year results on 26 February and the Group remains well positioned to 
address the global market trends of urbanization and infrastructure growth. 
 
In North America, the first two months of the year were impacted by poor 
weather, but trading has improved notably in the last two months.  The US 
construction market as a whole remains solid and continues to grow steadily, 
although Suncoast is having to contend with rising steel prices.  The 
integration of Moretrench has started well and confirms Keller's position as 
the most capable geotechnical solutions provider on the East Coast, leaving it 
very well positioned for the expected long term renewal of infrastructure in 
the region. 
 
In EMEA, despite the poor weather across most of Europe in the first quarter, 
our core European businesses are performing in line with expectations.  The 
Middle East is having a quieter year following the completion of its two major 
projects and the Brazilian market remains challenging.  The Group's very large 
Caspian project is now complete and we have largely demobilised. Excluding this 
project, we continue to expect further progress in EMEA in 2018. 
 
In APAC, the actions taken to restructure the business are delivering results. 
Revenue growth is encouraging, particularly in Australia as a result of a 
healthy level of infrastructure work and the continued upturn in investment 
from the resources industry.  Although pricing remains challenging in certain 
market segments, we continue to expect that APAC will return to profitability 
in 2018. 
 
Our Group order book of over GBP1bn gives us confidence that our strategic 
initiatives, technical leadership, wide product portfolio, broad local branch 
network and operational strength will continue to drive the business forward. 
The Group continues to make good progress against the target of GBP50m gross 
benefits from strategic initiatives. 
 
The Group has positive momentum in all its divisions and remains on course to 
meet the Board's expectations for the full year. 
 
Keller will announce its interim results on 30 July 2018. 
 
For further information, please contact: 
 
Keller Group plc                           www.keller.com 
 
James Hind, Finance Director               020 7616 7575 
Victoria Huxster, Head of Investor 
Relations 
 
Finsbury 
 
Gordon Simpson                             020 7251 3801 
James Kavanagh 
 
 
Notes to Editors: 
 
Keller is the world's largest geotechnical solutions provider, providing 
technically advanced geotechnical solutions to the construction industry. With 
annual revenue of over GBP2.0bn, Keller has more than 10,000 employees 
world-wide. 
 
Keller is the clear market leader in the US, Canada, Australia and South 
Africa; it has prime positions in most established European markets and a 
strong profile in many developing markets. 
 
For more information, please go to http://www.keller.com/investors.aspx and 
http://www.keller.com/investors/investment-case.aspx. 
 
Cautionary statements: 
 
This document contains certain 'forward looking statements' with respect to 
Keller's financial condition, results of operations and business and certain of 
Keller's plans and objectives with respect to these items. 
 
Forward looking statements are sometimes, but not always, identified by their 
use of a date in the future or such words as 'anticipates', 'aims', 'due', 
'could', 'may', 'should', 'expects', 'believes', 'intends', 'plans', 
'potential', 'reasonably possible', 'targets', 'goal' or 'estimates'. By their 
very nature forward-looking statements are inherently unpredictable, 
speculative and involve risk and uncertainty because they relate to events and 
depend on circumstances that will occur in the future. 
 
There are a number of factors that could cause actual results and developments 
to differ materially from those expressed or implied by these forward-looking 
statements. These factors include, but are not limited to, changes in the 
economies and markets in which the group operates; changes in the regulatory 
and competition frameworks in which the group operates; the impact of legal or 
other proceedings against or which affect the group; and changes in interest 
and exchange rates. 
 
All written or verbal forward looking statements, made in this document or made 
subsequently, which are attributable to Keller or any other member of the group 
or persons acting on their behalf are expressly qualified in their entirety by 
the factors referred to above. Keller does not intend to update these forward 
looking statements. 
 
Nothing in this document should be regarded as a profits forecast. 
 
This document is not an offer to sell, exchange or transfer any securities of 
Keller Group plc or any of its subsidiaries and is not soliciting an offer to 
purchase, exchange or transfer such securities in any jurisdiction. Securities 
may not be offered, sold or transferred in the United States absent 
registration or an applicable exemption from the registration requirements of 
the US Securities Act of 1933 (as amended). 
 
Market Abuse Regulation Statement: 
 
This announcement contains inside information as defined in EU Regulation No. 
596/2014 and is in accordance with the Company's obligations under Article 17 
of the Regulation. 
 
LEI number:            549300QO4MBL43UHSN10 
 
Classification:         2.2 Inside information 
 
 
 
END 
 

(END) Dow Jones Newswires

May 23, 2018 02:00 ET (06:00 GMT)