Last checked at 18 Sep 2013 07:00
18 September 2013
COHORT PLC ("Cohort")
AGM Statement & First Quarter Update
Cohort, the independent technology group, is today holding its Annual General Meeting. The Chairman, Nick Prest, will make the following remarks to the meeting:
"Cohort again improved its performance last year, achieving a 13% increase in adjusted operating profit to £7.3m. Both MASS and SEA strongly increased their profitability and SCS made a positive contribution to the Group performance despite a significant drop in revenue in a tight domestic market. At the year end, net funds were £16.4m. The Group's order book remained strong at £96m, with around 60% of externally forecast 2013/14 revenue underpinned by customer orders.
"We have continued to improve our order book position in the early months of the current financial year. On 4th July we announced the award of a £4.1m contract to SCS for airworthiness support to the Lightning 2 aircraft for the Royal Air Force. On 20th August we announced an £11m order for SEA to provide two more external communications systems for the Royal Navy's Astute Class submarines. Together with some smaller orders, including pleasing wins for MASS in both education and defence, these resulted in a Group order book of over £102m as at 31st August.
"In aggregate, these orders have improved our revenue visibility for the current year. Beyond these successes we continue to see a good pipeline of both domestic and export opportunities, though the timing of the latter is always hard to predict.
"Overall, Cohort's trading, order intake and prospects at this early stage of the year are consistent with making further progress in 2013/14, though the pattern of deliveries and anticipated orders means that we expect performance to be more biased to the second half than in recent years.
"Despite a short-term increase in working capital as educational work has progressed over the school summer holiday, and the expenditure of £1.9m on the acquisition of one of SEA's Bristol properties in June, the Group has maintained a strong cash balance - in excess of £11.5m as at 31st August. We continue to seek carefully targeted acquisitions, in parallel with pursuing our organic growth strategy. In combination these are intended to deliver increased shareholder value."
Ends
For further information please contact:
Cohort plc | 0118 909 0390 |
Andy Thomis, Chief Executive |
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Simon Walther, Finance Director |
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Investec Bank Plc | 020 7597 5970 |
Keith Anderson / Daniel Adams |
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MHP Communications Limited | 020 3128 8100 |
Reg Hoare / Vicky Watkins |
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NOTES TO EDITORS
Cohort plc (www.cohortplc.com) is the parent company for three innovative, agile and responsive businesses working primarily for defence (air, land and sea), wider government and industry clients.
· SCS (www.scs-ltd.co.uk) - a defence consultancy, combining technical expertise with practical experience and domain knowledge. Owned by Cohort since flotation in March 2006.
· MASS (www.mass.co.uk) - a specialist defence and aerospace business, focused mainly on electronic warfare, information systems and electronic systems development. Acquired by Cohort in August 2006.
· SEA (www.sea.co.uk) - an advanced surveillance systems and software house with hardware development capability operating in the defence, space and transport market sectors. Acquired by Cohort in October 2007.
Cohort (AIM: CHRT) was admitted to London's Alternative Investment Market in March 2006. It has its headquarters in Berkshire and, through its operating companies, employs in total around 530 core staff there and at bases in Bristol, Cambridgeshire, Lincolnshire and Somerset.