Last checked at 6 Dec 2011 07:00
For immediate release 6 December 2011
Porvair plc ("Porvair")
Pre-close trading update and acquisition
Porvair, the specialist filtration and environmental technologies group, makes the following announcements regarding trading for the year ended 30 November 2011 and an acquisition by its Seal Analytical ("Seal") subsidiary:
Porvair traded well in the final quarter of 2011 and the Board expects to report results ahead of expectations for the year. Revenues for the year, at constant exchange rates, are expected to be 9% higher than the prior year and profit before tax is expected to be substantially ahead. Strong cash flows have reduced net borrowings by more than 40% compared with the prior year to below £5.5m.
Revenue at the Metals Filtration division, at constant currency, will be over 15% higher than the prior year. Operating profit has improved significantly compared with the prior year due to revenue growth and higher margins derived from new products that have been introduced in recent years.
Revenue at the Microfiltration division, at constant currency, will be around 5% higher than the prior year. Aviation filtration revenue grew strongly in the year and order books for 2012 are encouraging. Seal has traded satisfactorily in the second half with revenues in line with the prior year.
Underlying order books across the Group for the first quarter of 2012 are healthy with the recently announced order from POSCO taking the current order book to record levels.
On 5 December, Seal acquired a complementary product line from Aim Lab Automation Technologies Pty Ltd. The acquisition will add a line of block digestion instruments and consumables to Seal's range of water quality analysis products and will be sold through Seal's existing distribution and sales channels. Production and customer service will be transferred to Seal's facility in Wisconsin. This small transaction is expected to contribute to Group profitability from acquisition.
Porvair will announce its preliminary results for the year ended 30 November 2011 on Tuesday 31 January 2012.
For further information, please contact:
Porvair plc | 01553 765 500 | |
Ben Stocks, Chief Executive | ||
Chris Tyler, Group Finance Director | ||
Buchanan | 0207 466 5000 | |
Charles Ryland / Catherine Breen |
Notes to editors
Porvair plc
Porvair is a group of specialist filtration and environmental technology businesses. Its products are used in a range of niche filtration markets, and are derived from its expertise in the design and manufacture of filtration systems using ceramic, metal, plastic and carbon media. Its Seal Analytical business is a market leader in the manufacture of laboratory based water analysis equipment.