Volution Group plc AGM Trading Update (0119V)

TIDMFAN

RNS Number : 0119V

Volution Group plc

09 December 2021

Embargoed to 07:00

Thursday 9(th) December 2021

Volution Group plc

AGM Trading Update for 4 months to 30(th) November 2021

Strong start to the new financial year

Volution Group plc ("Volution" or "the Group" or "the Company", LSE: FAN), a leading international designer and manufacturer of energy efficient indoor air quality solutions, today announces an update on trading covering the four months to 30(th) November 2021.

Trading update

Group revenues for the four months to 30(th) November 2021 were GBP104.0 million, 14.6% ahead of the equivalent period in the prior year (17.3% at constant currency ("cc")). The increase in revenue was delivered through a combination of recent acquisitions and organic growth of 7.1% when compared to the first four months of the prior financial year, a period that also saw strong organic revenue growth of 6.8% (cc). Early action in all three geographic regions on implementing selling price rises has enabled us to control the impact of significant cost inflation across all our markets.

Industry wide there has been an unprecedented period of supply chain disruption over the last twelve months. Our strategy of intentionally building, and now holding higher levels of inventory on key, long lead-time components, has enabled us to alleviate much of this disruption and we are delivering good levels of customer service in all three of our geographic regions.

In the UK, organic growth for the first four months was 6.6% (cc). In Continental Europe revenue has grown by 35.0% (cc), of which 4.7% (cc) was organic growth and in Australasia we have delivered our strongest organic growth to date of 14.4% (cc), benefiting from the roll out of the new retail account win in Australia that was disclosed in our financial results for the year ended 31 July 2021.

Summary

The Board is pleased with the start to the new financial year and our ability to maintain operating margins in the face of considerable cost inflation.

Whilst the Covid-19 pandemic continues to impact our markets, Volution is well placed to capitalise on the growing awareness of how indoor air quality impacts on health, and the changes to regulations in each of our local markets resulting from the need to reduce carbon emissions. One such example is the recently published UK Government's Heat and Buildings Strategy which takes a holistic approach and recognises the importance of reducing the build-up of harmful levels of air pollution in homes and the need to improve ventilation hand in hand with energy efficiency.

Ronnie George, Chief Executive Officer, commented:

"We are pleased to continue with the great progress we made in the year ended 31 July 2021 with a strong start to the new financial year. Our operating margins are being maintained in the face of considerable cost inflation, and we continue to provide good levels of customer service and product availability which is something that I know our loyal and dedicated employees are very much focussed on."

-Ends-

For further information:

 
 
 Volution Group plc 
 Ronnie George, Chief Executive 
  Officer                          [phone] 
 Andy O'Brien, Chief Financial 
  Officer                          [phone] 
 
                                   [phone] 
 Tulchan Communications             4200 
 James Macey White 
 Victoria Boxall 
 

Volution Group plc Legal Entity Identifier: 213800EPT84EQCDHO768.

Note to Editors:

Volution Group plc (LSE: FAN) is a leading international designer and manufacturer of energy efficient indoor air quality solutions. Volution Group comprises 19 key brands across three regions:

UK: Vent-Axia, Manrose, Diffusion, National Ventilation, Airtech, Breathing Buildings, Torin-Sifan.

Continental Europe: Fresh, PAX, VoltAir, Kair, Air Connection, Rtek, inVENTer, Ventilair, ClimaRad, ERI Corporation.

Australasia: Simx, Ventair, Manrose.

For more information, please go to: www.volutiongroupplc.com

Cautionary statement regarding forward-looking statements

This document may contain forward-looking statements which are made in good faith and are based on current expectations or beliefs, as well as assumptions about future events. You can sometimes, but not always, identify these statements by the use of a date in the future or such words as "will", "anticipate", "estimate", "expect", "project", "intend", "plan", "should", "may", "assume" and other similar words. By their nature, forward-looking statements are inherently predictive and speculative and involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. You should not place undue reliance on these forward-looking statements, which are not a guarantee of future performance and are subject to factors that could cause our actual results to differ materially from those expressed or implied by these statements. The Company undertakes no obligation to update any forward-looking statements contained in this document, whether as a result of new information, future events or otherwise.

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December 09, 2021 01:59 ET (06:59 GMT)