27 Apr 2018 07:00
27 April 2018
Laird PLC
Q1 Trading Update
Positive trading momentum continues
Laird PLC today announces a trading update for the first quarter from 1 January to 31 March 2018.
Revenue in sterling for the first quarter of 2018 was flat on prior year at £215.9m (Q1 2017: £215.3m). Revenue in US Dollars for the first quarter was $300.4m, up 13% from $266.9m in the same quarter in 2017. On an organic constant currency1 basis, first quarter revenue was up 8%, with growth across all three divisions.
The overall profitability of the Group continues to be positive through the first quarter, in line with our expectations and the revenue growth.
Revenue by division for the first quarter can be seen in the table below:
| Q1 2017 £m | Q1 2018 £m | Change | Change in organic constant currency1 |
Performance Materials | 100.5 | 93.5 | -7% | +1% |
Connected Vehicle Solutions | 76.8 | 82.7 | +8% | +14% |
Wireless & Thermal Systems | 38.0 | 39.7 | +4% | +17% |
Divisional Performance
Performance Materials
The organic constant currency growth1 was driven by strong performance in EMI Materials, Magnetic & Ceramic Products and Thermal Materials, offset by an expected decline in Precision Metals.
Connected Vehicle Solutions
The strong organic constant currency growth1 continues to be driven by growth in multi-functional antenna and smart device integration products.
Wireless and Thermal Systems
The improved organic constant currency growth1 was driven by particularly strong performance in Connectivity and Thermal product groups.
Transaction Update
Further to the announcement on 1 March 2018, that the Board had reached agreement on the recommended cash acquisition of Laird by a wholly-owned indirect subsidiary of funds managed by Advent International Corporation, the Board of Laird confirms that good progress is being made towards completion. On 17 April the shareholders of Laird approved the resolutions required in connection with the offer, including in respect of the Scheme of Arrangement to effect the offer.
The Scheme remains subject to the sanction by the Court at the Court Hearing and the satisfaction (or, where applicable, the waiver) of the other Conditions to the Scheme (as set out in the Scheme Document). Subject to the Scheme receiving the sanction of the Court, the filing of the Court Order with the Registrar of Companies and the satisfaction or, where applicable, the waiver of the other Conditions, the Scheme is expected to become effective in the third quarter of 2018."
1Organic constant currency growth is calculated by eliminating the revenue from acquisitions made for a period of twelve months from the acquisition date, and applying prior year exchange rates to convert current year revenues to GBP. The Directors believe that this measure provides investors with information regarding the underlying revenue performance of the Group as it eliminates the effect of acquisitions and the translation effect of currency exchange movements from period to period.
Enquiries:
Laird PLC | MHP Communications | |
Tony Quinlan, Chief Executive Officer Kevin Dangerfield, Chief Financial Officer Richard Harris, Head of Investor Relations
| Reg Hoare Tim Rowntree Ollie Hoare |
|
Tel: +44 (0)20 7468 4040 | Tel: +44 (0)20 3128 8100 | |
About Laird PLC:
Laird is a global technology company providing systems, components and solutions that protect electronics from electromagnetic interference and heat, and that enable connectivity in mission-critical wireless applications and antennae systems.