REG - AB Dynamics PLC - AGM Trading Update

Ab DynamicsAnnouncement

16/01/2025 07:00

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RNS Number : 4962T  AB Dynamics PLC  16 January 2025

16 January 2025

AB Dynamics plc

AGM Trading Update

 

AB Dynamics plc ("AB Dynamics", the "Company" or the "Group"), the designer,
manufacturer and supplier of advanced testing, simulation and measurement
products to the global transport market, issues the following trading update,
to coincide with the Company's Annual General Meeting taking place later
today.

 

Current trading

 

Further to the outlook commentary provided in the Group's FY 2024 results,
published on 26 November 2024, the Board is pleased to report that Group
trading continues to show positive momentum, and that performance over the
first four months of FY 2025 has been in line with its expectations.

 

Market activity continues to be positive with strong order intake in the
period, particularly in Asia Pacific and North America, and tenders have been
submitted for the renewal of long-term testing services contracts in China for
delivery in FY 2026 and beyond. The Group has a solid order book, providing
good visibility into the second half of the year, and the integration of Bolab
Systems is progressing as planned.

 

Financial position

 

The balance sheet remains robust with net cash at 31 December 2024 of £23.2m
(31 August 2024: £28.6m) after the initial cash consideration payment
of £4.2m for the acquisition of Bolab Systems.

 

The Group's strong cash position and ongoing cash generation leave it well
positioned to continue to invest in organic growth opportunities and further
value enhancing acquisitions.

 

Outlook

 

Whilst continuing to be mindful of the timing of pipeline conversion due to
potential disruption in elements of the automotive market and customer
delivery schedules, the Board remains confident that the Group will make
further financial and strategic progress this year, and its expectations for
FY 2025 are unchanged. Future growth prospects remain supported by long-term
structural and regulatory growth drivers in active safety, autonomous systems
and the automation of vehicle applications.

 

 

Note: Company compiled analyst expectations for the year ending 31 August
2025 is for adjusted operating profit of £21.9m.

 

 

Enquiries:

 AB Dynamics plc                                                                                                  01225 860 200
 Dr James Routh, Chief Executive Officer
 Sarah Matthews-DeMers, Chief Financial Officer

 Peel Hunt LLP (Nominated Adviser and Joint Broker)                                                               0207 418 8900
 Mike Bell
 Ed Allsopp

 Stifel Nicolaus Europe Limited (Joint Broker)                                                                    0207 710 7600
 Matthew Blawat

 Harry Billen

 Teneo                                                                                                            0207 353 4200
 James Macey White

 Matt Low

 

 

The person responsible for arranging the release of this information is David
Forbes, Company Secretary.

 

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