REG-Renewi plc Renewi plc: Renewi July 21 AGM Trading Update vF

RenewiAnnouncement

15/07/2021 07:20

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Renewi plc (RWI)
Renewi plc: Renewi July 21 AGM Trading Update vF

15-Jul-2021 / 07:15 GMT/BST
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR),
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15 July 2021

                                                                   

                                                             Renewi plc

                                                                   

                              ("Renewi", the "Company" or, together with its subsidiaries, the "Group")

                                                                   

                                                          Q1 Trading update

                                                                   

Renewi plc (LSE: RWI), the leading international waste-to-product company, announces its trading update for the three months ended 30
June 2021. 

 

Renewi has started the year well, in line with our recently upgraded expectations for FY22.  Trading in all the Group's Divisions  is
significantly ahead of the first quarter last year, which was particularly impacted by the first lockdown.

 

The Commercial Division  has performed  well.  As  expected, we  are seeing  recovery in  sectors such  as hospitality,  offset by  a
reduction in bulky waste  which saw a  significant increase in  volumes during the  lockdowns last year.   Strong recycled paper  and
ferrous metal prices have continued, as forecast.

 

The Mineralz & Water Division has increased throughput on the soil treatment line to around 75 tonnes per hour (55% of capacity) from
50 tonnes per hour  last year, with all  the output converted to  building materials, sand, gravel  and filler.  Volume shipments  of
older stock of thermally cleaned soil (TGG) to two locations have begun on schedule. 

 

The Specialities Division has also started the year well, with all business units performing as expected.

 

Good progress continues  to be  made with  our three  strategic growth initiatives  - recovery  of earnings  at ATM,  the Renewi  2.0
programme and our innovation pipeline - which will deliver significant additional revenues over the next three years and beyond.   In
particular, we are continuing to gain traction with our innovation  pipeline. The Board has approved the investment of €70m over  the
next 2-3 years in state-of-the-art sorting lines  in Flanders, to meet the requirements of  Vlarema 8 legislation, and in a new  hard
plastics sorting line in the Netherlands. 

 

Cash performance in  the first  quarter was  strong, with  tightly controlled working  capital.  Core  net debt  as at  30 June  2021
decreased by over €20m in the quarter to €321m, with leverage falling to below 2.0x net debt to EBITDA.  The Green bonds issuance  of
€125m at 3.0% to July 2027 is now fully subscribed and will replace the existing €100m Green bonds which are maturing in 2022.

 

The Board remains confident in the Group's prospects for the financial year ending 31 March 2022.

 

Longer term, the transition to  increased recycling will continue  to support our business model.  The sustainability agenda and  the
potential for a "green recovery"  supported by the EU  and national governments will present  attractive opportunities for Renewi  to
convert waste into a wider range of high-quality secondary materials.  

 

 

For further information:
                                                                                                                        
 
                                                                                                                        
 
                                                                                                                        
 
                                                                                                                       Renewi plc
Paternoster Communications
                                                                                                                       Adam Richford,
Tom Buchanan                                                                                                           Head of IR

+44 (0)20 3012 0241                                                                                                    +44 7976 321
                                                                                                                       540
 
                                                                                                                        
Ben
Honan                                                                                                                  Michelle
                                                                                                                       James, Head of
+44 (0)20 3012 0241                                                                                                    Communications

                                                                                                                       +44 7773 813
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 1 www.renewi.com                                                                                                       

                                                                                                                        
                                                                                                                        
                                                                                                                        

 

About Renewi

 

Renewi is a leading waste to product company that turns residual  materials into secondary raw materials. By doing so we play a  part
in transitioning from  a linear economy  and help drive  the progress needed  to halt climate  change. We have  over 6,500  employees
working from 165 operating sites in six countries across Europe and  UK. Our extensive operational network means we are always  close
to our customers.

 

For Renewi, waste is a state of mind, and an opportunity. Our many years of knowledge and experience, combined with a broad range  of
services, allow us to offer  sustainable, practical recycling solutions.  We use innovation and the  latest technology to turn  waste
into useful materials such as  paper, metal, plastic, glass, wood,  building materials, compost and energy.  In other words, we  turn
today's waste into tomorrow's raw  materials. The result of  our work is less  waste and contamination, a  smarter use of scarce  raw
materials, a reduction in carbon  emissions and as a consequence  helping to slow global warming.  At Renewi we contribute towards  a
cleaner, more circular world in which we "waste no more".

 

Visit our website for more information:  2 www.renewi.com.

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   ISIN:           GB0007995243
   Category Code:  AGM
   TIDM:           RWI
   LEI Code:       213800CNEIDZBL17KU22
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   117442
   EQS News ID:    1218997


    
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