This Month Sees TR 'Celebrating 45 Years of Service to Industry' and 'Holding the World Together'
LONDON, June 12, 2018 /PRNewswire/ --
TRIFAST PLC, leading international specialists in the engineering, manufacturing and distribution of high quality, industrial fastenings to major global assembly industries, releases its preliminary results for the year ended 31 March 2018. (LSE Main listing; symbol: TRI).
"TR delivers another year of strong growth and a 10% dividend increase - this year's key revenue message continues to be one of consistent growth across all our regions," said CEO Mark Belton.
To listen to an interview with Mark Belton, CEO follows this link:
https://www.brrmedia.co.uk/broadcasts-embed/5b19536602f5e74d0f2d8e20/event
KEY FINANCIALS
Year ended Year ended Year ended
31 March 31 March 31 March Change Change
Continuing operations 2018 at CER 2018 at AER 2017 CER[†] AER^
Total Group revenue GBP193.9m GBP197.6m GBP186.5m +4.0% +6.0%
Gross profit % 30.5% 30.5% 31.1% -60bps -60bps
Underlying operating profit* GBP22.1m GBP22.7m GBP21.0m +5.1% +8.1%
Operating profit GBP18.4m GBP19.0m GBP17.9m +3.1% +6.3%
Underlying profit before tax* GBP21.6m GBP22.2m GBP20.5m +5.4% +8.5%
Profit before tax GBP17.9m GBP18.5m GBP17.3m +3.4% +6.7%
Underlying diluted earnings per
share* 13.39p 13.78p 12.82p +4.4% +7.5%
Diluted earnings per share 11.82p 12.20p 10.40p +13.7% +17.3%
Dividend:
- final proposed 2.75p 2.50p +10%
- interim 1.10p 1.00p +10%
- total for the year 3.85p 3.50p +10%
Net debt GBP7.4m GBP6.4m +GBP1.0m
Return on capital employed (ROCE)* 20.1% 19.9% +20bps
*Before separately disclosed items
(see note 2)
[†]Constant exchange rate (CER)
^Actual exchange rate (AER)
- Total revenue increase of 6.0% at Actual Exchange Rate (AER), 4.0% at Constant Exchange Rate (CER)
- Sales to multinational OEMs contribute over 65% of Group turnover
- At 30.5%, gross margin remains 50bps above target
- Underlying profit before tax increased 8.5% at AER, 5.4% at CER
- Total dividend of 3.85p, an increase of 10.0% on the prior year
- An investment of up to £15.0m to transform our IT infrastructure and business processes has been approved, underpinning our future growth and generating an estimated ROI of over 25% p.a. at the point of full benefit realisation
- Targeted warehouse expansions support double digit growth in key locations
- Capital investment rises to £3.7m, increasing our manufacturing capacity and capabilities
- Precision Technology Supplies ("PTS"), a key distributor of stainless steel fastenings in the UK, acquired on 4 April 2018, expected to be earnings enhancing in FY2019
- The Growth Story Set to Continue
"As expected, 2018 has delivered another year of strong growth, with ongoing investment across all our regions. As a Group, we continue to invest in our operations around the world to support our ongoing growth story. In manufacturing, our capital expenditure plans will continue to increase capacity most noticeably at both our Italian and Singaporean sites. On the distribution side of the business, we have already expanded warehousing capacity in Shanghai and Northern Ireland to support the strong growth we are seeing in both of these markets. Moving into our new site in the USA in April this year represents one of our biggest warehousing investments in recent years. This has increased capacity significantly to future proof the business for further growth. This, together with a strong balance sheet, as well as a proven track record of profitable investment, means the Group is in a great position to keep moving forward. The current year has started well, with a robust pipeline in place, and the Board remains confident of delivering on its expectations," said Mark Belton, Chief Executive Officer.
"Our solid record of delivering organic revenue growth in recent times has provided the financial strength and confidence to underpin the teams' judgement that this is the optimum time in our development to further strengthen our operating, manufacturing and digital platforms across the world. As we acknowledge yet another strong, progressive and profitable year for Trifast, I would like to offer my sincere thanks, admiration and gratitude to all our colleagues across the various locations within our Group who have fully displayed their commitment and abilities against the stretching challenges set by the Board on behalf of all our shareholders," said Malcolm Diamond MBE, Non-Executive Chairman.
PRESENTATION OF RESULTS
Results briefing will be held at 8.45am-9.45am (UK) today at No1 Cornhill Business Centre, London, EC3V 3ND: Conference dial-in facility: on request, please contact Fiona Tooley on +44 (0) 7785 703523 or email fiona@tooleystreet.com.
TO READ THE ANNOUNCEMENT IN FULL PLEASE GO TO
http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/TRI/13675398.html
or
NOTE:
Unless stated otherwise, amounts and comparisons with prior year are calculated at constant currency (Constant Exchange Rate 'CER'). Where we refer to 'underlying' this is defined as being before separately disclosed items. Where we refer to 'EBITDA' this is defined as being earnings before interest, tax, depreciation and amortisation (see note 2 in this announcement).
EDITOR'S NOTE
TRIFAST PLC
LSE Premium Listing: Ticker: TRI
About us: Trifast is a leading international specialist in the engineering, manufacturing and distribution of high quality industrial fastenings to major global assembly industries. We are a 24/7 'full service provider' offering 'end-to-end' support to all our customers. Our success and ongoing growth is based on a unique mix of high quality manufacturing, sourcing know-how and adaptable, reliable global logistics. Key sectors are automotive, domestic appliances, electronics and distributors. The Group employs c.1, 300 staff across 31 global locations across the UK, Europe, Asia and the USA.
For more information, please visit
Group website: http://www.trifast.com
LinkedIn: http://www.linkedin.com/company/tr-fastenings
Twitter: http://www.twitter.com/trfastenings
Facebook: http://www.facebook.com/trfastenings
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