REG - Renew Holdings PLC - H1 Trading Update and Notice of Results

Renew HoldingsAnnouncement

01/04/2025 07:00

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RNS Number : 9917C  Renew Holdings PLC  01 April 2025

1 April 2025

Renew Holdings plc

 

("Renew" or the "Group")

 

H1 Trading Update and Notice of Results

 

 

Renew (AIM: RNWH), the leading Engineering Services Group supporting the
maintenance and renewal of critical UK infrastructure, provides the following
trading update for the six months ended

31 March 2025.

 

Trading Update

 

The Board confirms that trading for the first half of the year has been in
line with its revised expectations.

 

As announced on 24 January 2025, trading within the Rail sector has been
impacted by a slower than anticipated start to the latest control period (CP7)
which commenced in April 2024. More specifically, we have experienced delays
and deferments to renewal programmes, although this has been partly offset by
increasing demand for reactive and planned maintenance services. The estimated
net impact of the above remains consistent with previous guidance and our
clients continue to demonstrate a strong commitment to renewing and
maintaining the national rail network to meet their regulatory obligations.

 

In Environmental, activity levels in Water remain ahead of expectations and we
continue to forecast strong momentum through the transition to the new control
period, AMP8, which commences today. We begin AMP8 in a significantly stronger
position than AMP7. The spend in our addressable market is forecast to almost
double and we have successfully secured framework positions in 13 water
regions including for 10 of the 12 largest combined water and waste companies.

 

Trading in the Energy and Infrastructure sectors remains resilient and the
integration of our recent acquisitions, Excalon and Full Circle, is
progressing well with both businesses trading in line with our pre-acquisition
expectations.

 

We continue to review an active acquisition pipeline in line with our strategy
of acquiring and integrating value-accretive businesses. Underpinned by
long-term framework positions, the Group's order book continues to be at
record levels, underscoring the Group's core capabilities and established
presence in long-term, sustainable growth sectors. Net debt as at 31 March
2025 is anticipated to be in line with management expectations.

 

The Group remains strongly positioned in its core markets and remains
confident in meeting full year expectations(1) with operating profit expected
to be ahead of the prior year (2024: £70.9m).

 

Notice of Results

 

Renew's interim results for the six months ended 31 March 2025 will be
announced on Tuesday 13 May 2025.

 

(1) Company compiled analyst consensus for adjusted revenue of £1,117.0m,
adjusted operating profit of £72.0m and pre-IFRS 16 net debt of £6.9m

 

For further information, please contact:

 

 Renew Holdings plc                                      www.renewholdings.com
 Paul Scott, Chief Executive Officer                     via FTI Consulting
 Sean Wyndham-Quin, Chief Financial Officer              020 3727 1000

 Deutsche Numis (Nominated Adviser and Joint Broker)     020 7260 1000
 Stuart Skinner / Kevin Cruickshank / Will Wickham

 Peel Hunt LLP (Joint Broker)                            020 7418 8900
 Ed Allsopp / Pete Mackie / Charlotte Sutcliffe

 FTI Consulting (Financial PR)                           020 3727 1000
 Alex Beagley / Tom Hufton / Amy Goldup / Matthew Young  Renew@fticonsulting.com

 

 

About Renew Holdings plc

 

Renew is a leading UK Engineering Services business, performing a critical
role in keeping the nation's infrastructure functioning efficiently and
safely. The Group operates through independently branded subsidiaries across
its chosen markets, delivering non-discretionary maintenance and renewal tasks
through its highly skilled, directly employed workforce.

 

Renew's activities are focused on Engineering Services in the key markets of
Rail, Infrastructure, Energy (including Wind and Nuclear) and Environmental
which are largely governed by regulation and benefit from non-discretionary
spend with long-term visibility of committed funding.

 

For more information please visit the Renew Holdings plc website:
www.renewholdings.com (http://www.renewholdings.com)

 

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