REG - Trifast PLC - Trading update & Notice of Annual results

TrifastAnnouncement

25/04/2024 07:00

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RNS Number : 9377L  Trifast PLC  25 April 2024

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR. Upon the publication of this announcement via the Regulatory Information
Service, this inside information is now considered to be in the public domain.

 

 

 

London, Thursday 25 April 2024

 

TRIFAST PLC

(Trifast, Group or Company)

 

Leading international specialist in the design, engineering, manufacture, and
distribution

of high-quality industrial fastenings and Category 'C' components principally
to major global assembly industries

 

 

Trading update

&

Notice of FY24 Annual results

 

 

 

Trading

Against a backdrop of continued subdued demand conditions in a number of
geographic and end market sectors, Trifast's trading performance in the final
quarter was resilient and supported by the self-help initiatives launched
during the year. As a result, the Group's revenue and profitability for the
financial year ended 31 March 2024 (FY24), are expected to be marginally ahead
of guidance indicated in the announcement of 22 January 2024.*

 

Management has continued to focus on the Operational Improvement programme
instigated in 2023, to drive enhanced efficiency and productivity, and we
remain committed to delivering phased savings of c.£3m annualised, the bulk
of which will be delivered in FY25.

 

As part of this programme, we are pleased to report that we completed Project
Atlas across the global business which, will enable the business to
collaborate more productively as we refocus our activities. The anticipated
consolidation of UK sites into the purpose-built UK National Distribution
Centre has been slightly behind our original target of March 2024. This is
mainly due to the complexities of integrating four regional business units,
including our largest site, Bellbrook Park into one location with limited
disruption to the business. We expect that the one remaining site will be
completed by the end of June 2024. We are confident that the NDC will enable
us to rebuild revenues with a much higher level of efficiency and gives the UK
business a stronger platform to benefit from demand recovery in the short to
medium term.

 

Working capital and cash management continues to be a key focus, with the
Group delivering a significant reduction in inventory levels and strong cash
generation over the course of FY24, ahead of our original targets.
Consequently, Group net debt (pre IFRS16) as at 31 March 2024 was c.£21m (H1
2024: £27.8m), representing leverage of less than 1.3x.

 

The Board would like to acknowledge the dedication of all our staff who have
worked hard to deliver a number of operational initiatives and create a team
ready to build on the strengths of our TR brand worldwide.

 

The benefits of our Improvement initiatives and cash generation focus have
stabilised performance and strengthened our business. Looking forward, the
Group continues to demonstrate operational and financial resilience in a
challenging trading environment. With a strong Balance sheet we continue to
see significant scope to rebuild and invest in our future, therefore, we
remain confident in the fundamentals of the business model over the
medium-term.

Notice of annual results

The team will be providing more detail on the performance, restructuring,
strategic plans and progress at the time of the release of the Group's annual
results scheduled to be announced on Thursday 4 July 2024.

 

 

 

*Consensus forecasts FY24 prior to this announcement were: revenue of £230m,
adjusted EBIT £11.5m, and adjusted PBT £6.0m

 

 

 Enquiries please contact:
 Trifast plc
 Iain Percival, Chief Executive Officer
 Kate Ferguson, Interim Chief Financial Officer
 Office: +44 (0) 1825 747630
 Email: corporate.enquiries@trifast.com
 (mailto:corporate.enquiries@trifast.com)
 Shareholders: companysecretariat@trifast.com
 (mailto:companysecretariat@trifast.com)

 Peel Hunt LLP (Stockbroker & financial adviser)
 Mike Bell
 Tel: +44 (0)20 7418 8900

 TooleyStreet Communications (IR & media relations)
 Fiona Tooley
 Tel : +44 (0)7785 703523
 Email: fiona@tooleystreet.com (mailto:fiona@tooleystreet.com)

 

 

 Editors' notes

 About Trifast plc (TR)

 Founded in East Sussex in 1973, TR is a leading international specialist in
 the design, engineering, manufacture, and distribution of high-quality
 industrial fastenings and Category 'C' components principally to major global
 assembly industries.

 The Group supplies to customers in c.70 countries across a wide range of
 industries, including light vehicle, heavy vehicle, health & home, energy,
 tech, & infrastructure (ET&I), general industrial and distributors. As
 a full service provider to multinational OEMs and Tier 1 companies spanning
 several sectors, we deliver comprehensive support to our customers across
 every requirement, from concept design through to technical engineering
 consultancy, manufacturing, supply management and global logistics.

 As an international business we are able to provide 24/7 customer support from
 across key regions in the UK, Asia, Europe and North America. In addition to
 our service locations we operate a number of manufacturing facilities focused
 on high volume cold forged fasteners and special parts. We have also
 established Technical & Innovation Centres to support R&D and customer
 collaboration across the world.

 For more information, visit our

 Investor website: www.trifast.com (http://www.trifast.com)

 Commercial website: www.trfastenings.com (http://www.trfastenings.com)

 LinkedIn: www.linkedin.com/company/tr-fastenings
 (http://www.linkedin.com/company/tr-fastenings)

 Twitter: www.twitter.com/trfastenings (http://www.twitter.com/trfastenings)

 Facebook: www.facebook.com/trfastenings (http://www.facebook.com/trfastenings)

 Trifast, TR and TR Fastenings are registered trademarks of the Company

 LEI number: 213800WFIVE6RWK3CR22

 

 

 Forward-looking statements
 This announcement contains certain forward-looking statements. These reflect
 the knowledge and information available to the Company during the preparation
 and up to the publication of this document. By their very nature, these
 statements depend upon circumstances and relate to events that may occur in
 the future thereby involving a degree of uncertainty. Therefore, nothing in
 this document should be construed as a profit forecast by the Company.

 

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