Trading Statement

RNS Number : 4160A

Tanfield Group PLC

01 February 2011

 



1 February 2011

TANFIELD GROUP PLC ("Tanfield" or the "Company")

Pre-Close Trading Update

Tanfield Group Plc, the leading manufacturer of aerial work platforms, is providing the following trading update prior to entering the close period ahead of its preliminary results for the financial year ending 31 December 2010, which Tanfield expects to announce in April 2011.

Trading for the second half of 2010 was similar to that of the first half and in line with the Board's expectations. The Company continued to execute its strategy of cash preservation and net cash at 31 December 2010 was £3.6 million (30 June 2010: £2.2m).

As outlined in the Company's announcement of 4 January 2011, Tanfield completed the disposal of the business and assets of the Smith Electric Vehicles division to Smith Electric Vehicles US Corporation; Tanfield's 49% owned associate company, on 1 January 2011.

As predicted, the market for aerial work platforms stabilised in the second half of 2010, after a very difficult and prolonged period of recession. The Company has consolidated all its powered access products into the Snorkel brand which has been well received by customers. General activity in the construction industry remains low; however, the Board is encouraged by the positive sentiments emanating from the equipment rental sector, and is therefore cautiously optimistic that stabilisation may evolve into a return to growth in the mid-term.

Darren Kell, CEO of The Tanfield Group Plc, said: "The return of stability in the aerial lift industry in the second half of 2010 allowed Tanfield to focus on enhancing its Snorkel product range and global sales channels."

"Entering 2011, Tanfield remains debt-free, with a positive cash balance, a very strong product portfolio in powered access and an excellent international distribution network."

Further information:

Tanfield Group plc                                                                                          0845 155 7755

Darren Kell / Charles Brooks

Arbuthnot Securities Limited (NOMAD and Broker)                        020 7012 2000

James Steel / Ed Gay

Media Enquiries

Dan Jenkins                                                                                                        07536 092682

ENDS

 

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