REG - Castings PLC - Trading Update and Notice of Results

CastingsAnnouncement

10/10/2023 07:00

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RNS Number : 4545P  Castings PLC  10 October 2023

Castings PLC

Trading Update and Notice of Results

 

Castings PLC ("Castings" or "the Company"), the leading iron casting and
machining group primarily focused on the European heavy truck market,
announces a trading update in respect of the six months ended 30 September
2023.

 

The underlying demand for heavy trucks (approximately 75% of group revenue)
remains strong and this continues to be reflected in the schedules that our
OEM customers are providing. The high level of demand, both current and
forecast, is in excess of our current foundry production capacity and
initiatives are in place to capitalise on this in both the short and long
term.

 

Input prices appear to have stabilised in the current year and in some areas
we are seeing slight reductions. The higher unit cost for electricity,
following the end of a fixed contract on 30 September 2022, continues to be
surcharged to our customers. This will not adversely affect group profit as it
is a pass-through of a direct cost increase, but will increase revenue in the
six-month period compared to the prior period.

 

The balance sheet remains very strong with pre-dividend cash generation during
the six-month period and management remain confident that the Company will
continue to trade in line with market expectations.

 

Notice of Results

The Company intends to announce its half year results on 10 November 2023.

 

 

Castings
PLC
+44 (0) 1543 374341

S J Mant, Director and Company Secretary

 

Canaccord Genuity Limited (Joint
Broker)                             +44 (0) 20
7523 8000

Adam James

 

Zeus Capital Limited (Joint
Broker)
+44 (0) 20 3829 5000

Dominic King (Corporate Broking)

David Foreman (Investment Banking)

 

 

Notes for Editors

Castings PLC is a leading iron casting and machining group based in the UK,
supplying both the domestic and export markets. It has gross foundry capacity
of 70,000 tonnes p.a. and is highly invested with the latest automation
technologies. This enables high mix production of low volume parts on a just
in time basis to provide a competitive edge. Castings has long-term
relationships with the major OEMs in its core European heavy truck market and
their platforms typically last over 10 years in production. In addition to the
commercial vehicle sector, Castings PLC also supplies the wind power,
agriculture, rail and material handling markets. www.castings.plc.uk
(http://www.castings.plc.uk)

 

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