REG - Braemar PLC - Update on Trading, FY23 Results and Investigation

BraemarAnnouncement

22/09/2023 07:00

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RNS Number : 2823N  Braemar PLC  22 September 2023

 

 

22 September 2023

 

 

BRAEMAR PLC

("Braemar" or the "Company" or the "Group")

 

Update on Trading, FY23 Results and Investigation

 

Braemar Plc (LSE: BMS), a provider of expert investment, chartering, and risk
management advice to the shipping and energy markets, today announces the
following updates.

 

Trading update for the financial year ending February 2024 (FY24)

 

The board is pleased to report that the Group continues to trade well and is
on track to deliver FY24 underlying operating profit (excluding foreign
exchange movements) of c.£18m, in line with market consensus. Underlying
operating profit (excluding foreign exchange movements) for H1 FY24 is
expected to be not less than £7.0m.

 

The board's strategy of growing scale and market breadth with increased
diversification and global reach continues to deliver strong results. Revenues
for the first six months of the financial year are moderately higher than the
same period last year, against a backdrop of significantly lower shipping
rates in certain sectors.

 

The board remains confident in the outlook for the second half, with the
Group's total forward order book being 21% higher than the same period last
year.

 

 

Publication of FY23 results and investigation update

 

As announced on 26 June 2023, the board commenced an independent investigation
into a historic transaction dating back to 2013. The investigation has been
conducted by FRP, an independent specialist firm and has been overseen by an
investigation committee chaired by the Group's non-executive Chairman. The
investigation has been thorough and complex, but is now nearing completion and
has focused on a small number of transactions which were carried out between
2006 to 2013.

 

The board is pleased to report that it expects previous guidance for FY23 to
remain unchanged, with record revenue and underlying profitability achieved.
Revenue for FY23 is expected to be not less than £150m (FY22: £101.3m), with
underlying operating profit expected to be not less than £20.0m (FY22:
£10.1m) with net cash of £6.9m at the year end.

 

The board is presently working through the conclusions of the investigation
and any resulting amendments to the Group's accounts for prior periods. The
board currently expects to publish final results for FY23 in October 2023,
whereafter the board expects to request a restoration of its listing. As far
as the board is able, further detail will be provided at that time.

 

As previously announced, the board will propose at the reconvened AGM (to be
held after the release of the FY23 results), a final dividend of 8 pence per
share (2022: 7 pence). Total dividends in respect of FY23 will be 12 pence per
share, a 33% increase over the previous year (FY22: 9 pence).

 

 

James Gundy, Group CEO commented:

"I would like to thank all our shareholders and the Braemar team for their
patience and understanding during this period. We continue to deliver on our
strategy, and I am delighted with the performance of the business and the
strong start to this year. I am also pleased that the investigation, which has
been time consuming, and complex is now coming to an end and the business has
shown considerable resilience throughout this period, which makes me
incredibly proud."

 

 

ENDS

 

 For further information, contact:

 Braemar Plc
 James Gundy, Group Chief Executive Officer                          Tel +44 (0) 20 3142 4100
 Grant Foley, Group Chief Financial Officer
 Investec Bank plc
 Gary Clarence / Harry Hargreaves / Alice King                       Tel +44 (0) 20 7597 5970
 Cavendish Securities PLC

                                                                     Tel +44 (0) 20 7397 8900

 Ben Jeynes / Charlie Combe (Corporate Finance)

 Leif Powis (Sales)
 Buchanan
 Charles Ryland / Stephanie Whitmore /Jamie Hooper / Jack Devoy      Tel +44 (0) 20 7466 5000

 

Notes to Editors:

 

About Braemar Plc

Braemar provides expert investment, chartering, and risk management advice
that enable its clients to secure sustainable returns and mitigate risk in the
volatile world of shipping and energy. Our experienced brokers work in tandem
with specialist professionals to form teams tailored to our customers' needs,
and provide an integrated service supported by a collaborative culture.

 

Braemar joined the Official List of the London Stock Exchange in November 1997
and trades under the symbol BMS.

 

For more information, including our investor presentation,
visit www.Braemar.com (http://www.braemar.com/)  and follow Braemar
on LinkedIn (https://www.linkedin.com/company/braemar-ltd) .

 

 

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