Trifast plc - Preliminary Results FY2020

(‘Trifast’, the ‘Group’ ‘TR’ or ‘Company’)

“Our fastenings enable innovation today, to build a better tomorrow”


Preliminary results for the year ended 31 March 2020

London: Tuesday, 28 July 2020: Trifast (LSE Premium listing: TRI), leading international specialist in the design, engineering, manufacture and distribution of high-quality industrial and Category ‘C’ components to major global assembly industries announces preliminary results for the year ended 31 March 2020:

 

“Trifast is a global business serving a broad and balanced range of sectors and geographies and with no one customer representing greater than 7% of revenue. We are a full-service provider to our multinational customers, delivering reliable product engineering, quality, and supply via flexible global logistics solutions. Even in uncertain times, this gives us a very good base from which to keep moving forward and delivering on our future aspirations.”


Our Group performance

  • Resilient performance maintains revenues of £200m, despite challenging market conditions
  • Ongoing market share wins offset automotive downturn
  • Underlying operating profit margins holds up well at 9.0% (FY2019: 11.6%)
  • Strong cash conversion at 95.9% of UEBITDA reinforces the Group’s financial position
  • Balance sheet further strengthened by £16m equity raise in June 2020, providing confidence to invest in significant long-term growth opportunities
  • Swift and effective action in response to COVID-19 reduces impact on the business
  • Project Atlas ended FY2020 on track and on budget, the impact of COVID-19 will continue to be closely monitored as circumstances evolve
  • Pipeline of opportunities and activity levels remain encouraging
  • M&A opportunities increase in uncertain market conditions
“As I start my tenure as Chair, it is fitting that I pause, express gratitude and celebrate the past. I have had the privilege of working with and learning from Malcolm so I can safely say that although he will be missed, he retires leaving behind a legacy. There is no doubt that the last financial year was a challenging period. However, as is often the case in such circumstances, there are opportunities a plenty. As the team charged with bringing leadership, we are grabbing these with both hands. Our ability to build on the foundations laid by the previous generation using a people and process centric approach, gives us the capability to walk forward into ‘new normal’ with great confidence.”

Jonathan Shearman, Non-Executive Chair (appointed 1 April 2020)

 
“The Board would like to thank each and every one of our TR colleagues around the world for their hard work, flexibility and dedication over the last six months. By pulling together and supporting each other so well in such extraordinary times we have been able to keep our business, our customers and ourselves safe and ready to face the challenges and opportunities that are still to come.”

Mark Belton, CEO


Financial highlights

 

 

FY 2020 CER

FY2020 AER

FY2019

Movement at CER

Movement at AER

Revenue £200.5m £200.2m £209.0m (4.0)% (4.2)%
GP%^ 27.5% 27.5% 30.0% (250)bps (250)bps
Underlying operating profit ('UOP')^* £18.0m £18.1m £24.2m (25.4)% (25.2)%
UOP %^* 9.0% 9.0% 11.6% (260)bps (260)bps
Underlying profit before tax^* £17.0m £17.1m £23.5m (27.7)% (27.5%)
Underlying diluted EPS^* 10.52p 10.54p 14.53p (27.6)% (27.5)%
Adjusted net debt§   £15.2m £14.2m   £1.0m
ROCE^*   12.0% 18.8%   (680)bps
Interim/total dividend
 
1.20p
4.25p
 
(71.8%)
GAAP measures
Operating profit (OP)^
 
£4.0m
 
£4.1m
 
£17.1m
 
(76.7)%
 
(76.1)%
OP%^ 2.0% 2.0% 8.3% (620)bps (620)bps
Profit before tax^ £2.9m £3.0m 16.4m (82.2)% (81.5)%
Diluted EPS^   (0.19p) 9.90p   (101.9)%
* Before seperately disclosed items (see note 2)
 
^ Presented after the adoption of IFRS16 Leases in FY2020. The ROCE impact has been a reduction of 100bps (before IFRS16: 13.0%) less significant impacts on the remaining metrics are explained in a separate table at the end of the business review

§ Adjusted net debt is presented excluding the impact of IFRS16 Leases, as this is how the calculation is performed for the purposes of the Group's banking facilities. Including right-of-use lease liabilities, net debt would increase by £15.1m to £30.3m at FY2020
 

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Enquiries


Trifast plc

Jonathan Shearman, Non-Executive Chair
Mark Belton, Chief Executive Officer
Clare Foster, Chief Financial Officer
Office: +44 (0) 1825 747630
Email: corporate.enquiries@trifast.com

Peel Hunt LLP

Stockbroker & financial adviser
Mike Bell
Tel: +44 (0) 20 7418 8900

TooleyStreet Communications

IR & media relations
Fiona Tooley
Tel : +44 (0)7785 703523
Email: fiona@tooleystreet.com

Published 28.07.2020

For further information on Trifast plc please visit our investors website: www.trifast.com