REG - Gooch & Housego PLC - Full Year Trading Update <Origin Href="QuoteRef">GHH.L</Origin>

Gooch & HousegoAnnouncement

29/10/2014 09:53

RNS Number : 5815T
Gooch & Housego PLC
07 October 2014
For immediate release
7 October 2014
Gooch & Housego PLC
("G&H" or the "Company")
Full Year Trading Update
"Trading in line with expectations"
Gooch & Housego PLC, the specialist manufacturer of optical components & systems, today announces that trading for the year ended 30 September 2014 is expected to be in line with management expectations. 
Trading conditions followed a modestly improving trend as the year progressed despite significant foreign exchange rate headwinds, which applied for much of the period. Order intake during the second half of the year was strong, resulting in a closing order book 18% higher than at the start of the financial year.
Diversification and delivering growth have continued to be the principal strategic themes of the business. The trend towards a more balanced spread of business across the Company's principal market sectors has continued. Similarly, a balance between organic and acquisitive growth has been achieved, with the two acquisitions completed during the first quarter being supplemented by new product development at both the operational sites and within the Systems Technology Group (STG). The STG is currently leading or participating in eight European Space Agency and European Union projects. With a headcount of eleven and further growth planned, the STG has moved into new, purpose built facilities at the Company's recently enlarged Torquay site.
While still at an early stage, initiatives to enhance operational efficiency and drive continuous improvement throughout the organisation are delivering results in the form of reduced costs and improving margins. Rationalising operations is a key part of this process, and recent trends in the industrial laser market in particular have resulted in a more streamlined product range which has made it possible to consolidate manufacturing operations. The decision to close the Company's facility in Melbourne, Florida, was announced in April 2014 and is on target to be completed by the end of the calendar year. Customers will continue to be fully supported from G&H's other manufacturing operations in both the UK and California.
The Company has an active portfolio of R&D activities and new product development projects, ranging from near market customer driven opportunities to longer term strategic initiatives. Several of these projects are on course to be completed in the coming year.
G&H's Preliminary Results will be announced on 2 December 2014.
Gareth Jones, Chief Executive of Gooch & Housego commented: -
"This has been another period of development and progress for the Company. Our initiatives to streamline the business and in so doing reduce costs are beginning to bear fruit. With a solid order book and an encouraging pipeline of new products and opportunities, Gooch & Housego is well positioned to deliver further growth in 2015 and beyond."
For further information contact: -
Gareth Jones / Andrew Boteler / Mark Webster
Gooch & Housego PLC
01460 256440
Mark Court / Gabriella Clinkard
Buchanan 
020 7466 5000
Patrick Robb / David Anderson 
Investec Bank plc
020 7597 4000

This information is provided by RNS
The company news service from the London Stock Exchange
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