Lifesafe Hldg Regulatory News (LIFS)

LifeSafe Holdings plc

('LifeSafe', the 'Group' or the 'Company')

Trading Update

FY24 performance in line with Board expectations

LifeSafe (AIM:LIFS), a fire safety technology business with innovative fire extinguishing and prevention fluids and fire safety products, provides the following trading update for the year ended 31 December 2024 ('FY24'). The figures set out in this announcement are subject to audit.

The Board is pleased to report that the Group's trading result for FY24 is in line with its internal expectations.

Revenue for FY24 is expected to be approximately £3.3 million.  Underlying LBITDA1 is expected to be approximately £0.7 million. This represents a significant improvement on the previous year's underlying LBITDA of £1.4 million, in line with our journey to profitability. Overheads were reduced by £2.1 million (43%) against prior year, to £2.7 million, with marketing costs and warehousing and logistics costs in particular decreasing by 64% and 66% respectively.

As previously reported, early in 2024 the Board took steps to address the cost pressures experienced as LifeSafe scaled at pace during 2023. The Group evolved its US sales model from a pure B2C to a B2B2C model, partnering with wholesalers to improve LifeSafe's gross and net margins. 

Significant savings have been made at the gross margin level, through reduced fulfilment and commission charges, while overheads decreased mainly through reduced marketing and logistics costs. This enabled LifeSafe to achieve a higher gross margin on lower revenue, reflecting the new distribution relationship in the US.

It is expected that the Preliminary Results will be published in April 2025.

Dominic Berger, Chairman of LifeSafe, commented: "Our marketing investment in 2023 successfully enabled us to sign up new wholesale partners in the US in early 2024 which has resulted in significant savings in our overheads driving the business towards profitability."

1Underlying LBITDA represents loss for the year before finance expense, tax, depreciation and amortisation, and non-underlying items.

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Notes to Editors

LifeSafe is a fire safety technology business that develops eco-friendly, novel and innovative fire extinguishing and prevention fluids and life-saving fire safety products. LifeSafe has developed a market disrupting range of eco-friendly fire safety protection products; a new patent-pending Thermal Runaway Fluid to combat lithium battery fires by permanently extinguishing and preventing re-ignition, and the StaySafe All-in-1, a handheld eco-friendly and fully recyclable extinguisher which is verified to extinguish ten different types of fire.  LifeSafe is successfully creating new markets for the Group in fire safety through its innovative technologies, products, digital marketing and multi-channel sales; and is continuing to develop new fluid derivations for applications in various industrial market sectors.

LifeSafe was admitted to trading on AIM in July 2022 with the ticker LIFS.

For further information please visit: https://www.lifesafeholdingsplc.com.

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