Last checked at 25 Jan 2024 07:00
Strix Group Plc
("Strix", the "Company" or the "Group")
Pre-Close Trading Update, Chief Financial Officer Appointment and Notice of Results
Strix Group Plc (AIM: KETL) announces a pre-close trading update for the year ended 31 December 2023.
Despite the continued challenging macroeconomic and geopolitical environment, Strix has achieved adjusted profit after tax for the full year of £20.6m on a constant currency and £20.1m on a reported basis.
Demand in kettle controls in the key export regulated markets remains subdued, and whilst it has delivered quarter on quarter recovery during 2023 which it expects to continue, it remains c.20% lower by volume than 2021 and the recovery has been slower than anticipated. Strix's unregulated and China markets, which represents c.20% of Strix's kettle controls' gross profit has shown more positive signs of growth. Following its successful integration, Billi has delivered double digit revenue and profit growth on a constant currency basis which is consistent with its strong track record over the past five years. LAICA also performed robustly with double digit revenue and profit growth on a constant currency basis.
Cash generation for the Group during the second half of the year was strong and year-end net debt will be c.£83.7m. The Company confirms this year-end position for the net debt to EBITDA was 2.15x and debt service coverage ratio was 1.15x which are within its covenants.
Strix is now focussed on delivering future profitable growth and the optimal resources required to achieve this. This will include a new internal reorganisation programme that will help the Group to continue to maximise cash generation and support debt reduction with a clear plan to get net debt / EBITDA to below 1.5x before the end of 2025. More details will be provided at the Preliminary Results in March.
Chief Financial Officer Appointment
Further to the announcement made on 27 October 2023, Strix is also pleased to announce the appointment of Clare Foster as Chief Financial Officer. Clare has over 25 years of experience working in international businesses, and was most recently the Group Chief Financial Officer at Trifast plc making her a valuable addition to Strix's leadership team. She will join Strix on 1 February 2024 and following a handover period, will formally take office and join the Board on 2 April 2024. Mark Kirkland intends to step down as Interim Chief Financial Officer on 2 April 2024, remaining in that role until then to finalise the Preliminary Results and support an effective transition. He will continue to be a Non-Executive Director on the Strix Board.
Notice of Results
The Group will announce its Preliminary Results for the twelve month period ended 31 December 2023 on 27 March 2024.
The following information is disclosed pursuant to Rule 17 and Schedule 2(g) of the AIM Rules for Companies in relation to Clare Louise Foster, aged 49:
Clare has held the following directorships in the past five years:
TR VIC S.P.A.
Precision Technology Supplies Limited
Charles Stringer's Sons & Co. Limited
Fastech (Scotland) Limited
Fastener Techniques Limited
Ivor Green (Exports) Limited
Lancaster Fastener Company Limited
Micro Screws & Tools Limited
Rollthread international Limited
Serco-Ryan Limited
T.R. Fastenings Limited
TR Europe Limited
TR Falcon Fastening Solutions
TR Fastenings España - Ingenieria Industrial, S.L.
TR Group Limited
TR Southern Fasteners Limited
TriFast Holdings (Asia) Limited
TriFast Holdings (US) Inc
TriFast Holdings B.V.
TriFast Overseas Holdings Limited
TriFast plc
TriFast Qualifying Employee Share Ownership Trustee Limited
TriFast Systems Limited
TriFix Limited
Clare Foster holds no ordinary shares in the Company.
There is no further information on Clare required to be disclosed under Schedule Two, paragraph (g) (i)-(viii) of the AIM Rules for Companies.
For further enquiries, please contact:
| |
Strix Group Plc Mark Bartlett, CEO Mark Kirkland, Interim CFO | +44 (0) 1624 829829 |
Zeus (Nominated Advisor and Joint Broker) Nick Cowles / Jamie Peel / Jordan Warburton (Investment Banking) |
+44 (0) 20 3829 5000 |
Stifel Nicolaus Europe Limited (Joint Broker) Matthew Blawat / Francis North |
+44 (0) 20 7710 7600 |
IFC Advisory Limited (Financial PR and IR) Graham Herring / Tim Metcalfe / Florence Chandler |
+44 (0) 20 3934 6630 |
ABOUT STRIX GROUP PLC
Isle of Man based Strix, is a global leader in the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration.
Strix's core product range comprises a variety of safety controls for small domestic appliances, primarily kettles. Kettle safety controls require precision engineering and intricate knowledge of material properties in order to repeatedly function correctly. Strix has built up market leading capability and know-how in this field since being founded in 1982.
Strix trades on the AIM Market of the London Stock Exchange (AIM: KETL).