AGM Statement

RNS Number : 9392U

Renold PLC

18 July 2018

 

Renold plc

("Renold", "the Company" or "the Group")

AGM Statement

18 July 2018

Renold, a leading international supplier of industrial chains and related power transmission products, is today issuing, ahead of its Annual General Meeting to be held at 11:00am today, the following statement in respect of the first quarter of the financial year ending 31 March 2019 ('the Quarter').

The Quarter saw overall Group performance in line with expectations.  Improving order intake in the second half of the previous year was converted into growth in underlying¹ revenue in the Quarter of 3.7%, compared to the first quarter of the prior year.  Higher sales are being delivered in both divisions, with underlying revenue ahead by 3.1% for Chain and 4.9% for Torque Transmission.

The trend of orders growing at a faster rate than revenue has continued into the early part of the new financial year, with order intake in the Quarter 9.2% ahead of revenue in the same period (book to bill ratio).  Underlying order intake was 12% higher than in the first quarter of the prior year (excluding the major multi-year project win by UK Couplings in June 2017).

Progress continues to be made in building our new Chinese chain factory, with construction nearing completion.  The phased transfer of manufacturing operations will be undertaken over the coming months, with full operation from the new facility scheduled for the end of the financial year. 

The Group remains on track to deliver a result for the full year in line with the Board's expectations.

Robert Purcell, Chief Executive of Renold, said:

"Strong order intake in the latter part of the prior year supported growing revenues in the Quarter across most of our geographic regions, with the Americas particularly strong in both the Chain and Torque Transmission divisions.

"Continued revenue growth provides the platform for margin improvement supported by continued progress in delivering against our strategic plan."

(1) The use of "underlying" excludes the impact of changes in foreign exchange rates by re-translating the prior year comparative figures to the current year exchange rate.

ENQUIRIES:

Renold plc	0161 498 4500
Robert Purcell, Chief Executive
Ian Scapens, Group Finance Director
Arden Partners	020 7614 5917
Chris Hardie
Ben Cryer
Instinctif Partners	020 7457 2020
Mark Garraway
Helen Tarbet Rosie Driscoll

 

NOTES FOR EDITORS

Renold is a global leader in the manufacture of industrial chains and also manufactures a range of torque transmission products which are sold throughout the world to a broad range of original equipment manufacturers and distributors. The Company has a well deserved reputation for quality that is recognised worldwide. Its products are used in a wide variety of industries including manufacturing, transportation, energy, steel and mining.

Further information about Renold can be found on the website at: www.renold.com

 

END

 

 

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