Last checked at 7 Sep 2021 07:00
7 September 2021
Renew Holdings plc
("Renew" or the "Group" or the "Company")
Trading Update
Continued strong trading; full year performance expected to be ahead of current market expectations
Renew (AIM: RNWH), the leading Engineering Services Group supporting UK infrastructure, provides the following trading update ahead of the release of its full year results for the financial year ended 30 September 2021 on 7 December 2021.
Since the announcement of our half year results, the Group has continued to deliver a strong trading performance, driven by ongoing demand for its critical asset maintenance and renewals services, and continued operational progress across its diversified Engineering Services end markets.
As a result of this sustained positive momentum, the Board now expects the Group's full year results to be materially ahead of current market expectations with adjusted operating profit expected to be no less than £50m versus a current consensus forecast of £45.8m.
Activity levels are supported by long-term regulatory spend and the positive outlook for UK infrastructure. Pleasingly, the integration of the Group's two acquisitions during the period, Browne and REL are proceeding to plan and trading is in line with management's expectations.
The Group's order book remains strong, underpinned by our long-term framework positions while net debt and cash generation are in line with expectations.
Renew's differentiated, low-risk, highly cash generative business model, combined with the mission critical nature of its work and exposure to markets with long-term growth dynamics, leaves the Board confident in the Group's ability to capitalise on the long-term opportunities ahead.
For further information, please contact:
Renew Holdings plc | www.renewholdings.com |
Paul Scott, Chief Executive Officer Sean Wyndham-Quin, Chief Financial Officer
| via FTI Consulting 020 3727 1000 |
Numis Securities Limited (Nominated Adviser & Broker) Stuart Skinner/ Kevin Cruickshank
| 020 7260 1000 |
FTI Consulting (Financial PR) Alex Beagley/ James Styles/ Sam Macpherson | 020 3727 1000 Renew@fticonsulting.com |
This announcement is released by Renew Holdings plc and contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 (MAR). It is disclosed in accordance with the Group's obligations under Article 17 of MAR. Upon the publication of this announcement, this information is considered to be in the public domain.
For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of Renew Holdings plc by Sean Wyndham-Quin, Chief Financial Officer.
About Renew Holdings plc
Renew Holdings plc is a leading UK Engineering Services business, performing a critical role in keeping the nation's infrastructure functioning efficiently and safely. The Group operates through independently branded subsidiaries across its chosen markets, delivering non-discretionary maintenance and renewal tasks through its highly skilled, directly employed workforce.
Renew's activities are focused into two business streams: Specialist Engineering, which accounts for over 90 per cent of the Group's adjusted operating profit, focuses on the key markets of Rail, Infrastructure, Energy (including Nuclear) and Environmental which are largely governed by regulation and benefit from non-discretionary spend with long-term visibility of committed funding.
Specialist Building focuses on the High Quality Residential and Science markets in London and the Home Counties.
For more information please visit the Renew Holdings plc website: www.renewholdings.com