Scapa Group PLC Trading Statement (4733D)

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RNS Number : 4733D

Scapa Group PLC

10 October 2018

10 October 2018

LEI No. 213800QIPVTK5ES5UU36

Scapa Group plc ("Scapa" or "the Group")

Period end update

Scapa Group plc (AIM: SCPA) is today providing a period end update for the six months ended 30 September 2018.

Group trading profits* and margins are ahead of last year. Primarily due to the adverse currency movement against the equivalent period last year, revenue is down 3.4%.

Healthcare revenue grew 0.2% (3.4% on a constant currency basis). We anticipate the tech transfers and new programs will, as previously announced, start to benefit revenues during the second half of the year.

Industrial profit and margin improved on lower revenue, and we continue to make good progress toward the medium term margin target of 15%. The integration of Markel Industries is nearly complete and we expect the synergy benefit to come through during the second half of the year. We also announced the closure of our Liverpool facility in New York, USA.

Our cash generation remains strong and the Group ended the first six months with a net debt of GBP5.2m.

We remain confident of strong progress for the year and we anticipate the profit for the year will be in line with expectations, excluding the impact of the recently announced Gargrave healthcare transaction. Further details and the impact of this transaction will be included in the half year results which we expect to announce on 20 November 2018.

*Before exceptional items, amortisation of intangible assets and legacy pension costs and finance charges

Enquiries:

 
 Scapa Group plc 
  Heejae Chae - Chief Executive 
  Oskar Zahn - Chief Financial 
  Officer                             0161 301 7430 
 
   Numis Securities Limited 
   (Nominated Adviser) 
   Mark Lander / Richard Thomas       020 7260 1000 
 
   Berenberg 
   (Joint Broker) 
   Chris Bowman                       020 3207 7800 
 
   Weber Shandwick 
   Nick Oborne                        020 7067 0721 
 

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October 10, 2018 02:00 ET (06:00 GMT)