SFE.L Regulatory News (SFE)

26 January 2015

Safestyle UK plc

("Safestyle" or the "Company")

Year End Trading Update

Safestyle UK plc (AIM: SFE), the leading UK-focused retailer and manufacturer of PVCu windows and doors for the homeowner replacement market, is pleased to provide a trading update for the year ended 31 December 2014.

The Company has continued to trade well, with revenue for the year increasing 9.0 per cent to approximately £136.0 million (2013: £124.8 million). In addition, profit before tax has shown good progress and is anticipated to be in line with consensus market expectations*.

The Company has continued to increase market share from 7.85 per cent as at 31 December 2013 to 8.48 per cent as at 31 December 2014, according to FENSA data, which shows a small contraction in the overall market in 2014. However, our growth is also reflected in the increase in frames manufactured during the year, up 7.0 per cent to 267,642 (2013: 250,185 frames), whilst the number of installations increased 4.7 per cent to 57,682 (2013: 55,112). The order book at the year end was 3% up on last year.

Cash flow has continued to be strong and we ended the year with cash of £8.5million, compared with £5.2million at 31 December 2013, having paid dividends of £6.7million in H2 2014.

The Company will announce its audited results for the year ended 31 December 2014 on

26 March 2014.

Steve Birmingham, CEO of Safestyle UK, commented:"Trading in our first full financial year as a quoted company has been strong. The results for the year, with growth in revenue, profit and market share, has largely been driven by our marketing strategy where we have successfully developed a more sophisticated multi-channel approach to connect with our current and potential customers, reflecting changing buying habits. We continue to focus on the South of England as a key driver of growth. Looking forward we are confident that we can continue to outperform the market in 2015."

Note: *: Consensus market expectation for FY2014 profit before tax is £16.7million (before share based payments) (2013: £15.0 million before AIM admission costs and historic tax settlement).

Enquiries:

About Safestyle UK plc

The Group is the leading retailer and manufacturer of PVCu replacement windows and doors to the UK homeowner market. For more information please visit the Safestyle UK website: www.safestyle-windows.co.uk.