REG - Goodwin PLC - March 2024 Trading Update

GoodwinAnnouncement

14/03/2024 07:00

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RNS Number : 7683G  Goodwin PLC  14 March 2024

GOODWIN PLC
MARCH 2024 TRADING UPDATE

 

The Group's trading activity has remained in line with expectations and the
profitability of the Group in the second half of the year will be similar to
the first six months, with the current workload at the time of writing being
£252 million.

During the year, the Board has created an Executive Leadership Team that
consists of the five Main Board Executive Directors and currently two
additional members to broaden the experience at the senior level.  We are
pleased to announce that the Executive Directors have been joined by Adam
Deeth, who following the retirement of John Connolly has been the Group Chief
Accountant for the past year, and Anthony Thomas, the Group's General
Counsel.  Both individuals bring a wealth of experience from their previous
roles within significant engineering groups and are actively contributing to
the progression of the Group.

In line with our activities to reduce CO(2) emissions in relation to our
manufacturing activities, our woodland creation plan that involves the
planting of over 500,000 trees has been formally approved by the Welsh
Government and verified by Natural Resource Wales.  The planting of the
scheme is expected to commence over the next two years and over the life of
the scheme has the potential to generate an estimated yield of 150,000 tonnes
of carbon equivalent (tCO2e). Such a scheme was necessary as it would
currently be impossible using carbon neutral alternatives that are
commercially available to substitute natural gas within the energy costs of
some of our manufactured products.  We are still awaiting permission from the
Distribution Network Operator to connect a further 1MWp solar installation
into Goodwin Steel Castings and for planning permission on a 4.3MWp Solar
installation at Hoben International to compliment the 5.2MWp of Solar already
installed.

Following a record order input last year at Goodwin Steel Castings of £77.2
million, higher than the cumulative input over the last five years, the level
of throughput at the foundry is increasing.  Consequently, the foundry will
be contributing a greater level of profits moving forward as a higher
proportion of the work will relate to highly technical and specialist mission
critical castings that are priced accordingly. Over the past five years nearly
all of these components have been through a development process and have
successfully been delivered to our customers. With activity levels continuing
to increase throughout the year, the Board sees this as an exciting time for
Goodwin Steel Castings going forward.

We commented in the 2023/24 Outlook section of the Interim Report that we
believed Easat Radar Systems, over the next six months, will be announced as
the successful bidder of a number of contracts, though we have nothing further
to report at this time as the tendering processes are still ongoing. In
turning around this part of the business, no different than what has been
achieved at Goodwin Steel Castings to address different market areas, the
Easat team have been diligently working to position Easat to deliver
commercially attractive and technically advanced Radar Systems rather than
just components to integrators and as such our confidence level of success
remains resolute.  We look forward to updating shareholders as the Easat
story evolves in due course.

With respect to dividend payments, we confirm that the second and final
instalment of 57.5p per share in relation to the year ending 30(th) April
2023, which was approved at the last Annual General Meeting on the 29(th)
September 2023, will be paid on the 12(th) April 2024.

 

 

T.J.W. Goodwin

Chairman

 

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LEI: 213800N4T1NMSJ57B322

 

 

 

 

 

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