REG - Hardide PLC - Trading update

HardideAnnouncement

14/07/2022 07:00

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RNS Number : 3920S  Hardide PLC  14 July 2022

 

14 July 2022

 

Hardide plc

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

 

Trading update

 

Hardide plc (AIM: HDD), the developer and provider of advanced surface coating
technology, is pleased to provide an update on trading for the third quarter
of the financial year to 30 September 2022 and year to date.

 

The improvements across the Company's key markets reported in the Company's
results for the first half have continued in line with the Board's
expectations although, in recent weeks, there has been increased volatility
emerging in demand driven by lengthened raw material lead times for customers,
and certain project revenues scheduled for the final quarter may now be
recognised in the next financial year starting 1 October 2022. Revenues for
the year to 30 September 2022 are expected to be broadly in line with the
Board's expectations albeit with a slightly wider range of possible outcomes,
which will also be reflected at the EBITDA level.

 

The Group had £0.8m of cash at 30 June 2022 (31 March 2022: £0.9m) and
continues to maintain strict cost and investment discipline. However, the
Board is mindful that the Group is exposed increasingly to an extended period
between purchasing key raw materials and receiving payment from customers. As
previously stated, the Group is exploring financing options to support its
near-term working capital requirements in addition to potential investment in
equipment.

 

The Board maintains a positive outlook for the business beyond the near term
as supply chains and markets continue their recovery and developments
currently under way become realised. The Company sees clear potential for the
next financial year to show considerable improvement on recent years.

 

 Enquiries:
 Hardide plc

 Robert Goddard, Non-Executive Chairman              Tel: +44 (0) 1869 353 830

 Philip Kirkham, CEO

 Jackie Heddle, Communications Manager
 IFC Advisory                                        Tel: +44 (0) 20 3934 6630

 Graham Herring

 Tim Metcalfe

 Florence Chandler
 finnCap - Nominated Adviser and Joint Broker        Tel: +44 (0) 2072 200 500

 Henrik Persson/ Abigail Kelly (Corporate finance)

 Richard Chambers (ECM)

 Allenby Capital - Joint Broker                      Tel: +44 (0) 20 3328 5656

 Tony Quirke - Sales and Corporate Broking

 Jeremy Porter - Corporate Finance

 

Notes to editors:

www.hardide.com (http://www.hardide.com/)

 

Hardide develops, manufactures and applies advanced technology tungsten
carbide/tungsten metal matrix coatings to a wide range of engineering
components. Its patented technology is unique in combining in one material, a
mix of toughness and resistance to abrasion, erosion and corrosion; together
with the ability to coat accurately interior surfaces and complex geometries.
The material is proven to offer dramatic improvements in component life,
particularly when applied to components that operate in very aggressive
environments. This results in cost savings through reduced downtime and
increased operational efficiency. Customers include leading companies
operating in the energy sectors, valve and pump manufacturing, industrial
engineering and aerospace industries.

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the retained EU law version of the
Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK
law by virtue of the European Union (Withdrawal) Act 2018. The information is
disclosed in accordance with the Company's obligations under Article 17 of the
UK MAR. Upon the publication of this announcement, this inside information is
now considered to be in the public domain.

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