Nexus Infrastructure PLC Trading Update and Notice of Results (0775W)

TIDMNEXS

RNS Number : 0775W

Nexus Infrastructure PLC

21 April 2021

Wednesday 21 April 2021

Nexus Infrastructure plc

("Nexus" or the "Group")

Trading Update and Notice of Results

Nexus Infrastructure plc (AIM:NEXS), a leading provider of essential infrastructure services, utilities connections and smart energy infrastructure, is pleased to provide an update on trading for the six months ended 31 March 2021. The Company's interim results will be announced on Thursday 20 May 2021.

Nexus continues to perform in line with the Board's expectations, with all three businesses active on site and winning new business. Nexus expects to deliver Group revenues of GBP63.9m for the six months ended 31 March 2021 (H1 2020: GBP84.2m), in line with the base case, the stronger of the two scenarios set out at the time of the placing in June 2020.

The Group's total order book stood at GBP301.6m on 31 March 2021, GBP2.1m ahead of the prior year position (H1 2020: GBP299.5m) and an increase of 6.9% since 30 September 2020 (GBP282.0m).

TriConnex, our utilities business, has performed well in the period, delivering both revenue and profit growth against a strong prior year period. The business continues to grow, with the order book increasing during the six-month period by GBP5.5m to GBP190.9m and up 4.6% year on year (H1 2020: GBP182.4m). H1 revenue was up 5.8% year on year, delivering a gross margin of approximately 30%.

eSmart Networks, our smart energy business, has gained strong traction during the period, with revenue increasing by more than 150% year on year. The order book has also increased substantially during the six-month period, increasing by GBP8.4m to GBP12.2m, a 450% increase over the same period last year (H1 2020: GBP2.2m). The business is establishing an impressive client base in the electric vehicle charging, industrial electrification and renewable infrastructure sectors.

Tamdown, our civil engineering business, has seen turnover significantly down in the period after a difficult FY20 and is in line with the resized overhead. However, during the period, Tamdown has been successful in securing new business that will commence in H2, which has led to the order book increasing to GBP98.5m from the year end position of GBP92.5m (H1 2020: GBP114.9m).

The balance sheet of the Group remains strong with cash and cash equivalents of GBP25.6m (31 March 2020: GBP19.7m) and net cash, adjusting for borrowings of GBP10.7m (31 March 2020: GBP8.7m).

Mike Morris, Chief Executive of Nexus, commented:

"I am delighted to see that Nexus Infrastructure services are as in demand as ever, not least our deep knowledge and expertise in electrification. TriConnex and eSmart Networks trading has been particularly pleasing whilst Tamdown will rebuild over the medium term. We look forward to seeing strong momentum in the order book in the second half of the year, adding new blue-chip customers across the essential services offered by our three businesses."

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 
  Oliver Head 
 

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 high-rise construction services; TriConnex which designs, installs and connects utility networks to properties on new residential developments; and eSmart Networks which focuses on electric vehicle charging and smart energy 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 2017 to respond to the UK's need for charging infrastructure as the transition to electric vehicles gathers pace alongside the need for smart energy solutions.

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April 21, 2021 02:00 ET (06:00 GMT)