Nexus Infrastructure PLC Trading Update and Notice of Results (7761Q)

TIDMNEXS

RNS Number : 7761Q

Nexus Infrastructure PLC

23 October 2019

Wednesday 23 October 2019

Nexus Infrastructure plc

("Nexus" or the "Company")

Trading Update and Notice of Results

Profits for the full year expected to be in line with market expectations

Nexus Infrastructure plc (AIM:NEXS), a leading provider of essential infrastructure services to the UK housebuilding and commercial sectors, announces a trading update ahead of its annual results for the financial year ended 30 September 2019, which will be announced on 10 December 2019.

The Board expects the Group's profits for the full year ended 30 September 2019 to be in line with market expectations.

The Group's divisional revenues have increased year-on-year: Tamdown will achieve high single-digit percentage revenue growth. TriConnex will deliver strong revenue growth following an overall increase in the number of projects secured and the acceleration of certain projects in the period; and eSmart Networks continues to successfully scale-up.

The Board is encouraged by the level of growth in each of the Group's order books. Since last year end Tamdown's order book is up by 6% to GBP151.6m, TriConnex up by 26% to GBP184.8m and eSmart Networks up GBP1.7m to GBP2.5m. The Group order book ended the year at GBP338.9m, a 17% year-on-year increase which provides Nexus with good visibility of earnings for the year ahead.

The Group is also pleased to report a continued high cash and cash equivalent balance of GBP27.4m (2018: GBP26.4m), resulting in net cash of GBP22.6m (2018: GBP20.0m).

The Board believes that the Group is in a strong position to deliver consistent organic growth, aided by the structural undersupply in the UK housebuilding market and Government stimulus for the sector but like many industry suppliers, we continue to experience caution as a result of the continuing political backdrop.

Commenting on the Group's performance, Mike Morris, Chief Executive Officer, said:

"I am pleased to report that the Group is trading in line with expectations which we revised earlier this year. The underlying demand in the UK housing market remains strong and Nexus is well-positioned within the structurally under supplied and Government-backed housing market. I am particularly encouraged by the progress made by TriConnex this year and the potential within eSmart Networks. The continued growth in our order book provides us with strong visibility of future earnings and gives us confidence in the future."

Enquiries:

 
 Nexus Infrastructure plc           Tel: [phone] 
  Michael Morris, Chief Executive 
  Officer 
  Alan Martin, Chief Financial 
  Officer 
 Numis Securities Limited           Tel: [phone] 
  (Nominated Adviser & Broker) 
  Oliver Hardy (Nomad) 
  Heraclis Economides 
  Ben Stoop 
 Financial Public Relations         Tel: [phone] 
  Camarco 
  Ginny Pulbrook 
  Tom Huddart 
 

Notes to Editors:

Nexus is a leading provider of essential infrastructure services to the UK housebuilding and commercial sectors. The Group comprises: Tamdown, a provider of specialised civil engineering, infrastructure and concrete frame services; TriConnex which designs, installs and connects utility networks to properties on new residential and commercial developments; and eSmart Networks which focuses on electric vehicle charging and smart grid infrastructure.

Tamdown has a well-established market position having been in operation for over 40 years and currently counts amongst its customers the majority of the top ten largest UK housebuilders. TriConnex was established in 2011 to take advantage of deregulation in the utilities market with the goal of being recognised as the UK's leading independent provider of utility connections to new developments. eSmart Networks was set up in 2018 to respond to the UK's need for charging infrastructure as the transition from internal combustion engine vehicles to electric vehicles gathers pace.

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.

END

TSTBRBDGIGDBGCD

(END) Dow Jones Newswires

October 23, 2019 02:00 ET (06:00 GMT)