17 Jan 2019 08:30
17 January 2019
Management Resource Solutions plc
("MRS PLC" or the "Company" or the "Group")
Half Year Trading Update and Full Year Guidance
Management Resource Solutions PLC (AIM: MRS), a leading Maintenance, Fabrication, Civil and Earthworks company, provides the following trading update for the six months ended 31 December 2018 and guidance for the full year to 30 June 2019 ("FY19").
The Group is pleased to report that it is trading in line with the Board's expectations for the current financial year. As a result, the Board expects to report Net Revenue for FY19 in the range of AUD$73.0m - $75.0m (FY18: AUD$69.1m) and EBITDA in the range of AUD$12.0m - $14m (FY18: AUD$12.3m). FY19 Net Profit before Tax is expected to be in the range of AUD$8.0m - $AUD9.0m (FY18: AUD$6.0m), which will generate an EPS of approximately 4.5c - 5.1c per share (converting to 2.6p / 3.0p per share at an AUD/GBP exchange rate of 1.7).
The Group's performance in the first six months of the financial year has been driven by strong demand for MRS' services in the resources and construction markets in Australia, continued investment in core profitable assets and rigorous cost management. There has also been a strong focus on growing operations in new markets with higher margins. The restructuring, review of assets and depreciation, and maximising of internal synergies will continue through FY19.
Management continues to work towards completion of the debt restructuring. This is progressing well and a further announcement will be made in due course. This will ensure MRS has the most efficient interest rates available and should contribute significantly to the strong FY19 profit performance.
The Group will announce Interim Results for the six months ended 31 December 2018 on 28 February 2019.
Paul Brenton, Chief Executive Officer of Management Resource Solutions PLC, commented:
"Significant work was undertaken through FY18 to enable management to focus on the core operations of Fabrication, Mechanical and Civil & Earthworks. This has provided the foundations for a stronger FY19, as evidenced by the forecasts that we have outlined for the year. The first six months of FY19 was a period of continued progress for the Group and the Board is confident that the mining focused business, MRS Services Group, is well placed to benefit from opportunities that are being presented from Australia's increasingly strong resource sector."
For further information:
Management Resource Solutions plc John Zorbas, Chairman Paul Brenton, CEO Tim Jones, Finance Director
| via FTI Consulting Tel: +44 (0) 20 3727 1000 |
Northland Capital Partners Limited (NOMAD & Broker) David Hignell Gary Beaney Jamie Spotswood
| Tel: +44 (0) 20 3861 6625 |
Peterhouse Corporate Finance Limited (Joint Broker) Charles Goodfellow Lucy Williams
| Tel: +44 (0) 20 7469 0932 |
FTI Consulting (Financial PR) Alex Beagley James Styles Laura Saraby
| Tel: +44 (0) 20 3727 1000 |
This announcement includes inside information as defined in Article 7 of the Market Abuse Regulaon No. 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations. On the publication of this announcement via a Regulatory Information Service ("RIS"), this information is considered to be in the public domain.
About MRS
Management Resource Solutions plc (MRS), through its subsidiaries Bachmann Plant Hire and MRS Services Group, offers plant hire, equipment repair, refurbishment and fabrication, mine rehabilitation, earthmoving, road construction and other support services to a wide base of private and public sector clients in Australia. MRS caters predominately for the mining, civil engineering, construction and infrastructure industries.
Further information on the Company can be found at http://www.mrsplc.info