REG - Avingtrans PLC - Trading Update and Notice of Results

AvingtransAnnouncement

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RNS Number : 2256O  Avingtrans PLC  25 June 2025

25 June 2025

Avingtrans Plc

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

Trading Update and Notice of Results

 

Avingtrans PLC (AIM: AVG), which designs, manufactures and supplies critical
components, modules, systems and associated services to the energy, medical
and industrial sectors, announces a positive trading update in respect of the
financial year ended 31 May 2025.

The Board is pleased to report that revenue, Adjusted EBITDA¹ and Adjusted
PBT are in line with recently upgraded market expectations² driven by better
than anticipated performance within the Advanced Engineering Systems division.
Net debt as at 31 May 2025 was approximately £12.3m, excluding IFRS16. This
was better than anticipated, due to a reduction in working capital and reduced
commercialisation costs in the Medical & Industrial Imaging Division.

Advanced Engineering Systems Division (AES)

The AES division achieved strong underlying results in the period and has
carried this positive momentum into the new financial year, underscoring its
solid performance and strategic growth ambitions. Both Hayward Tyler and
Ormandy have achieved record results in the year, with robust results also
reported by Metalcraft and Booth. Slack & Parr's recovery trajectory is
continuing to build momentum, providing the Board with further confidence in
its contribution to the Group. The Board is also seeing evidence of increasing
prospects in the Defence markets with a new £3.5m MoD contract secured by HT
Luton in May 2025.

Medical & Industrial Imaging Division (MII)

Developments in the MII Division continue in line with management's
expectations for timelines and planned costs associated with market entry.

Adaptix continues to make progress in preparation for its forthcoming launch
into the orthopaedic market, with new distributor agreements being finalised.
These partnerships mark a significant step forward in building the commercial
foundation for market entry.

Magnetica is maintaining steady progress toward securing 510(k) approval for
its MRI system, a key milestone in its commercialisation pathway. The Group
continues to engage constructively with the FDA, with technical documentation
and validation work progressing in accordance with regulatory requirements.
Magnetica's development activities are advancing in line with internal
timelines, supported by a dedicated team focused on achieving compliance and
readiness for market entry.

In light of newly implemented tariff arrangements, the Board confirms that
direct exposure in AES is limited, due to regionalised supply chains and local
manufacturing. Direct exposure in MII is also limited but the Board is
considering various mitigation strategies. These include the ability to
manufacture a greater proportion of system components within the USA, thereby
reducing exposure and strengthening local supply capabilities, if required.

Notice of Results

Avingtrans expects to publish its audited results for the year ended 31 May
2025 on 24 September 2025, at which time it will provide a further performance
update.

Steve McQuillan, CEO of Avingtrans, commented:

"We are pleased with the Group's continued progress, delivering strong
financial performance and operational execution in line with recently upgraded
expectations. The AES division enters the new financial year in a strong
position, supported by substantial multi-year order cover, including over £60
million remaining on the Sellafield contract and over £30 million on HS2. The
Group enters FY26 with a solid platform for growth, underpinned by expanding
commercial traction and ongoing regulatory milestones. As a result, the Board
views the outlook for the year ahead with confidence."

 

¹Adjusted to add back amortisation of intangibles from business combinations,
acquisition costs, exceptional items and discontinued operations.

²Prior to today's announcement, the Company understands that market
expectations for the financial year ended 31 May 2025 were: Revenue £161m,
Adjusted EBITDA £16.6m, Adjusted PBT £8.0m.

Enquiries:

 Avingtrans plc                                          01354 692 391
 Roger McDowell, Chairman

 Steve McQuillan, Chief Executive Officer

 Stephen King, Chief Financial Officer

 Singer Capital Markets (Nominated Adviser and Broker)   020 7496 3000
 Sara Hale

 Alex Bond

 Oliver Platts

 IFC Advisory (Financial PR)                             020 3934 6630
 Graham Herring

 Tim Metcalfe

 Zach Cohen

 

About Avingtrans plc:

Avingtrans designs, manufactures and supplies original equipment, systems and
associated aftermarket services to the energy, medical and industrial markets
worldwide.

Business units

 Hayward Tyler - Luton, East Kilbride UK, USA, China and India

 Specialises in the design, manufacture and servicing of performance-critical
 motors and pumps for challenging environments.

 Energy Steel, Inc - Rochester Hills, Michigan, USA

 Provider of custom fabrications for the nuclear industry, specialising in: OEM
 parts obsolescence; custom fabrications; engineering design solutions; product
 refurbishment; on-site technical support.

 Stainless Metalcraft Ltd - Chatteris, UK

 Provider of safety-critical equipment for the energy, medical, science and
 research communities, worldwide, specialising in precision pressure and vacuum
 vessels and associated fabrications, sub-assemblies and systems.

 Booth Industries - Bolton, UK

 Designs, manufactures, installs and services doors and walls which can be
 tailored to be: blast and explosion proof; fireproof; acoustically shielded;
 high security/safety; or combinations of the above.

 Ormandy Group - Bradford, UK

 Design, manufacturers and servicing of off-site plant, heat exchangers and
 other HVAC (heating, ventilation and air conditioning) products.

 Slack & Parr - Kegworth, UK, USA & China

 Design, manufacture and servicing of high-precision gear metering pumps,
 hydraulics flow dividers and industrial pumps.

 Composite Products Ltd - Buckingham, UK

 Centre for composite technology, parts and assemblies, serving customers in
 industrial markets.

 Adaptix Ltd - Oxford, UK

 Adaptix has developed novel 3D X-ray for Orthopaedic and Veterinary
 applications amongst others. Commercialisation of this system (and others) is
 on-going.

 Magnetica Ltd - Brisbane, Australia

 Magnetica Limited specialises in the development of next generation MRI
 technologies, including dedicated extremity MRI systems and MRI system
 components. Magnetica has successfully built and tested a compact, integrated
 3 Tesla orthopaedic MRI system, demonstrating clinical-quality imaging.
 Commercialisation of this system (and others) is on-going. Magnetica's
 structure now includes two other business units:

 Scientific Magnetics - Abingdon, UK

 Designs and manufactures superconducting magnet systems and associated
 cryogenics for a variety of markets including MRI and provides services for
 Nuclear Magnetic Resonance instruments.

 Tecmag Inc - Houston, USA

 Designs, manufactures and installs instrumentation, including consoles, system
 upgrades, and probes, mainly for Magnetic Resonance Imaging (MRI) and Nuclear
 Magnetic Resonance (NMR) systems.

 

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