Last checked at 19 May 2009 07:00
| For immediate release | 19 May 2009 |
Churchill China plc
AGM Trading Update
19 May 2009
At the Company's Annual General Meeting today, Jonathan Sparey, Chairman, will make the following statement:
"I am pleased to report that in the period since our Preliminary Results Statement on 1 April 2009, the Group has continued to deliver trading results in line with those reported at that time.
Our Retail division continues to enjoy increased demand, especially from UK customers, with a number of encouraging future prospects. We anticipate that the first deliveries of product under the Jamie Oliver license will be made towards the end of May, but the real benefit of this significant opportunity will commence in the second half of 2009.
Hospitality sales continue to progress at a rate marginally behind last year. UK revenues are in line with those reported in 2008 and have been supported by good replacement activity and some new installations in both public and private sector accounts. Export sales have however remained weak.
Whilst we continue to expect that our overall margins will remain somewhat lower across 2009, our related plans to optimise inventory levels are ahead of target. The Group's two main investment projects for 2009, the new Marlborough warehouse and major business systems renewal, are now both nearing completion. Our cash balances continue to be healthy.
Overall we believe that we have improved our overall market position within what continues to be a less than predictable market place. This performance reflects both the strength of our plans and the traditional core values of Churchill."
For further information, please contact:
| Churchill China plc | Tel No: 01782 577566 |
| Andrew Roper / David Taylor | |
| | |
| Buchanan Communications | Tel No: 020 7466 5000 |
| Tim Anderson / Rebecca Skye Dietrich | |
| | |
| Brewin Dolphin Investment Banking | Tel No: 0845 270 8610 |
| Andrew Emmott | |