REG - Victrex PLC - Trading Statement

VictrexAnnouncement

14/06/2023 07:00

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RNS Number : 6184C  Victrex PLC  14 June 2023

 

14 June
2023

Victrex plc - Trading update

Victrex plc is an innovative world leader in high performance polymer
solutions, delivering sustainable products which support CO2 reduction and
bring environmental and societal benefit in multiple end-markets. Today's
trading update covers the period ending 31 May 2023.

Year-to-date (YTD) Group volume & revenue

At the Group's interim results we signalled that, in line with the wider
Chemical sector, ongoing macro-economic weakness and industrial customer
destocking were impacting performance in several end markets. During the first
half, Group volumes declined by 14%.

Whilst the Group remains ready to benefit from a macro-economic recovery,
latest indicators suggest these current headwinds will now continue over the
summer and at least until the end of FY 2023 in September.

Despite good progress in Medical, ongoing industrial headwinds mean YTD Group
volumes are now tracking in excess of 20% down, compared to the record prior
year. YTD Group revenue is tracking down by a mid-single digit percentage
rate. If current run-rates continue, full year revenue would be down between
6%-10%.

For Q3 as a whole, we anticipate volumes will be approximately 800 tonnes (Q3
2022: 1,323 tonnes).

Outlook

In our Outlook at the interim results stage, we signalled that delivering
full-year adjusted (pre-exceptional) profit before tax (PBT) in line with
expectations assumed a step up in demand during the latter part of the second
half, driven by macro-economic conditions.

Whilst we are seeing progress on gross margin, driven by pricing, sales mix,
currency and easing energy costs, Group adjusted PBT to 31 May 2023 was
approximately £53m.  With no step up in demand going into the final quarter
currently visible, and the resulting lower industrial revenue expectations,
our full year adjusted PBT is now expected to be between £80m-£85m.

Victrex will report its Q3 Interim Management Statement on Thursday 6 July
2023.

 

Analyst & investor conference call:

A conference call with management will take place this morning, 14 June 2023,
at 08.00am BST. The call can be accessed via the following link:

 

https://services.choruscall.za.com/DiamondPassRegistration/register?confirmationNumber=2616372&linkSecurityString=6aee7987c
(https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fservices.choruscall.za.com%2FDiamondPassRegistration%2Fregister%3FconfirmationNumber%3D2616372%26linkSecurityString%3D6aee7987c&data=05%7C01%7Cahanson%40victrex.com%7C2da7677afdc0404ec14908db6b503833%7C8b5cc50fa14944bd9ddc9d27ea6d720e%7C0%7C0%7C638221764531014580%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000%7C%7C%7C&sdata=kzZHvSMWfElqEco6bv7U4tNn3Kfu%2Br3%2FXgUvdGB1I%2Bc%3D&reserved=0)

 

Inside information:

This announcement contains inside information. The person responsible for
making this announcement is Jane Brisley, General Counsel & Company
Secretary.

 

Enquiries:

Victrex plc:

Andrew Hanson, Director of Investor Relations, Corporate Communications &
ESG       +44 (0) 7809 595831

Jakob Sigurdsson, Chief Executive
 
  +44 (0) 1253 897700

Ian Melling, Chief Financial
Officer
                           +44 (0) 1253 897700

 

 

About Victrex:

Victrex is an innovative world leader in high performance polymer solutions,
focused on the strategic markets of Automotive, Aerospace, Energy &
Industrial, Electronics and Medical. Every day, millions of people rely on
products or applications which contain our sustainable materials, from
smartphones, aeroplanes and cars to oil & gas operations and medical
devices. With over 40 years' experience, we are moving beyond the polymer into
semi-finished and finished products which shape future performance for our
customers and our markets, provide environmental and societal benefit for
customers and drive value for our shareholders. Find out more at
www.victrexplc.com (http://www.victrexplc.com)

 

 

 

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