Trading Update & Notice of Results

RNS Number : 7813J

Tristel PLC

22 July 2013

 



Tristel plc

("Tristel" or the "Company")

Trading update and notice of results

Tristel plc (AIM: TSTL), the manufacturer of infection prevention, contamination control and hygiene products, provides a trading update following the end of its financial year on 30 June 2013. Tristel addresses three distinct markets: Human Healthcare, Animal Healthcare and Contamination Control, with three distinctively branded product ranges: Tristel, Anistel and Crystel.

Trading highlights

·     H2 revenues up by 40% on H1 

·     H2 adjusted* pre-tax profit in excess of £0.9m (H1 £0.6m loss)

·     Full year revenues of £10.6m and adjusted pre-tax profit in excess of £0.3m

·     Return to positive cashflow in H2

The Board is pleased to report that the Company has delivered an improved performance in the second half.  Strong sales growth in combination with the restructuring programme completed in the first half has delivered a return to profitability and positive cash generation. As a result, the Company expects to announce H2 revenues 40% ahead of H1 revenues and adjusted* pre-tax profit of no less than £0.9m, representing a significant improvement on the loss of £0.6m at the half year stage. The full year adjusted* pre-tax profit will be no less than £0.3m, which is ahead of revised market expectations.

Tristel has also been cash generative in the second half with net cash of £0.5m at 30 June 2013 compared to borrowings of £0.4m at 31 December 2012.

In Human Healthcare, the Tristel instrument wipes and surface disinfection products are gaining increased acceptance within the UK and in overseas markets. International sales were £2.4m, representing 30% of total sales of Tristel branded products (£8m). The Company's subsidiaries in New Zealand and Germany were profitable in the year and have the potential for significant long term growth. The operation in China was streamlined in the first half and progress in the second half has been encouraging. During the past four years Tristel has built a growing presence in Russia, which is a key international healthcare market.  The network of distributors will be serviced directly from the newly opened Moscow branch.

In Animal Healthcare, the Company has successfully developed a market leading position since launching its Anistel veterinary brand in mid 2012. 

The Contamination Control business continues to progress towards profitability. The Company's focus on NHS aseptic units with the range of disinfectants manufactured in its clean room and branded Crystel is making inroads into this market. 

Paul Swinney (CEO) said "We are delighted with the improved performance in the second half and, whilst we are conscious of the need to demonstrate that this performance is sustainable, we remain cautiously optimistic for the future earnings growth potential of the Company."

The preliminary results for the year to 30 June 2013 will be released on 14 October 2013.

*Before exceptional and non-cash items

For further information please contact:       

Tristel plc	www.tristel.com
Paul Swinney, Chief Executive Officer	Tel: [phone]
Liz Dixon, Finance Director
Walbrook PR Ltd	Tel: [phone] or [e-mail]
Paul McManus	Mob: [phone]
Lianne Cawthorne	Mob: [phone]
finnCap	Tel: [phone]
Geoff Nash (Corporate Finance)
Charlotte Stranner (Corporate Finance)
Simon Starr (Corporate Broking)

About Tristel (www.tristel.com)

Tristel's lead technology is a proprietary chlorine dioxide formulation and the Company addresses three distinct markets:

·    The Human Healthcare market (hospital infection prevention - via the Tristel brand)

·    The Animal Healthcare market (veterinary practice infection prevention - via the Anistel brand)

·    The Contamination Control market (control of contamination in critical environments - via the Crystel brand)

 

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