Last checked at 14 Jul 2022 07:00
14 July 2022
Hardide plc
("Hardide", "the Group" or "the Company")
Trading update
Hardide plc (AIM: HDD), the developer and provider of advanced surface coating technology, is pleased to provide an update on trading for the third quarter of the financial year to 30 September 2022 and year to date.
The improvements across the Company's key markets reported in the Company's results for the first half have continued in line with the Board's expectations although, in recent weeks, there has been increased volatility emerging in demand driven by lengthened raw material lead times for customers, and certain project revenues scheduled for the final quarter may now be recognised in the next financial year starting 1 October 2022. Revenues for the year to 30 September 2022 are expected to be broadly in line with the Board's expectations albeit with a slightly wider range of possible outcomes, which will also be reflected at the EBITDA level.
The Group had £0.8m of cash at 30 June 2022 (31 March 2022: £0.9m) and continues to maintain strict cost and investment discipline. However, the Board is mindful that the Group is exposed increasingly to an extended period between purchasing key raw materials and receiving payment from customers. As previously stated, the Group is exploring financing options to support its near-term working capital requirements in addition to potential investment in equipment.
The Board maintains a positive outlook for the business beyond the near term as supply chains and markets continue their recovery and developments currently under way become realised. The Company sees clear potential for the next financial year to show considerable improvement on recent years.
Enquiries: | |
Hardide plc Robert Goddard, Non-Executive Chairman Philip Kirkham, CEO Jackie Heddle, Communications Manager |
Tel: +44 (0) 1869 353 830 |
IFC Advisory Graham Herring Tim Metcalfe Florence Chandler | Tel: +44 (0) 20 3934 6630 |
finnCap - Nominated Adviser and Joint Broker Henrik Persson/ Abigail Kelly (Corporate finance) Richard Chambers (ECM) | Tel: +44 (0) 2072 200 500 |
Allenby Capital - Joint Broker Tony Quirke - Sales and Corporate Broking Jeremy Porter - Corporate Finance |
Tel: +44 (0) 20 3328 5656 |
Notes to editors:
www.hardide.com
Hardide develops, manufactures and applies advanced technology tungsten carbide/tungsten metal matrix coatings to a wide range of engineering components. Its patented technology is unique in combining in one material, a mix of toughness and resistance to abrasion, erosion and corrosion; together with the ability to coat accurately interior surfaces and complex geometries. The material is proven to offer dramatic improvements in component life, particularly when applied to components that operate in very aggressive environments. This results in cost savings through reduced downtime and increased operational efficiency. Customers include leading companies operating in the energy sectors, valve and pump manufacturing, industrial engineering and aerospace industries.
The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.