REG - Mpac Group PLC - Full Year Trading Update

MPACAnnouncement

12/01/2022 07:00

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RNS Number : 1236Y  Mpac Group PLC  12 January 2022

 
 
12 January 2022

AIM: MPAC

 

 

[This announcement contains inside information for the purposes of Article 7
of Regulation (EU) No. 596/2014]

 

Mpac Group plc

(''Mpac'' or "Group")

 

Full Year Trading Update

 

FY21 trading performance in line with market expectations and encouraging
outlook for FY22

 

Mpac Group plc, a global leader in high-speed packaging and automation
solutions, today announces a trading update (unaudited) for the year ended 31
December 2021.

 

The Board is pleased to announce that the Group has had a strong FY21 and
expects to report revenue, underlying profit before tax, and closing cash in
line with market expectations.

 

Order intake, revenue and underlying profit before tax have all increased over
the period, underpinned by the continued progress of delivering the 'One Mpac'
business model. This is despite the operational challenges experienced during
the year caused by the global supply chain crisis and the impact on labour
availability due to Covid-19 resurgence.

 

The strong H1 2021 order intake continued through H2, delivering full year
growth from the resilient end markets which Mpac serves including essential
healthcare, and food and beverage. The Group ended 2021 with a closing order
book of circa £77.0m (December 2020: £55.5m), providing good coverage of
2022 forecast revenue.  This, along with a healthy prospect pipeline, means
the Group has an encouraging outlook for FY22.

 

Following the announcement of the contract win with FREYR Battery in July
2021, the Group has made good progress in the development and build of the
clean energy casting and unit cell assembly line.  The project remains on
track to be completed in Q3 2022.

 

The strong financial performance during the year is underpinned by the Group's
continued progress in realising the financial benefits of the strategic plans
of delivering on the 'One Mpac' business model. The Group remains focused on
executing its long-term strategy of developing Original Equipment order intake
growth and improved margins through our Digital Services customer offering,
together with increased operational efficiencies. This has led to an improved
financial performance and cash generation by operating as a single entity
business model.

 

Our full year results, for the year ended 31 December 2021, are scheduled to
be announced in the week commencing 14 March 2022.

 

Tony Steels, Chief Executive, commented:

 

"I am pleased to report Mpac made good progress and a robust financial
performance for 2021, in line with market expectations, in which we reached a
milestone by exceeding £100m of order intake for the year.  The positive H1
2021 performance has continued into H2 and the Group ended 2021 with both a
strong closing order book and a healthy prospect pipeline, providing an
encouraging outlook for 2022. I would like to thank our global team, who
excelled in challenging circumstances."

 

For further information, please contact:

 Mpac Group plc                                  Tel: +44(0)24 7642 1100

 Tony Steels, Chief Executive

 Will Wilkins, Group Finance Director
 Shore Capital (Nominated Adviser & Broker)      Tel: +44(0)20 7408 4050

 Advisory

 Patrick Castle

 Iain Sexton

 Broking

 Henry Willcocks

 Hudson Sandler                                  Tel: +44(0)20 7796 4133

 Nick Lyon

 Nick Moore

 

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