Mcbride Regulatory News (MCB)

14 July 2022

McBride plc

Full year trading update

McBride plc (the "Group"), the leading European manufacturer and supplier of private label and contract manufactured products for the domestic household and professional cleaning and hygiene markets, today provides the following trading update for the twelve months ended 30 June 2022.

Throughout the year the Group experienced both exceptional input cost inflation and supply chain disruptions, most recently further exacerbated by the Ukraine war. 

These impacts have been predominantly offset through pricing actions.

As a result, following first half revenue declines of 6.6% on a constant currency basis, revenue grew by 13.4% in the second half to produce Group revenue growth of 2.9% at constant currency for the full year. 

The Group anticipates that adjusted operating profit will be in line with current market consensus (*).

Net debt, including IFRS 16 leases, closed at circa £168m (30 June 2021: £118.4m). The Group's liquidity at 30 June 2022 was circa £70m, £30m higher than the minimum liquidity requirement of £40m applicable under the Group's financing arrangements.

The increase in debt was driven by;

· Working capital increases directly resulting from the effects of inflation rolled up in net working capital

· In-year losses

The Group continues to explore and assess all avenues to maintain liquidity and create additional funding for the benefit of all stakeholders.

We are fully appreciative of the ongoing support that the banking group have and are continuing to give the Group through this period of uncertainty caused by macroeconomic factors which have resulted in rapid and unprecedented rises in input costs and ongoing global supply chain challenges.

We expect to announce our year-end results on 29 September 2022.

(*) Current market consensus refers to full-year Group adjusted operating profit as compiled from broker notes.