Last checked at 26 Apr 2024 07:00
26 April 2024
Senior plc: Q1 2024 Trading Update
Trading in line, full year outlook in line with Board's expectations
Ahead of its Annual General Meeting on Friday 26 April 2024, Senior plc ("Senior" or "the Group"), an international manufacturer of high technology components and systems, principally for the worldwide aerospace & defence, land vehicle and power & energy markets, today issues this Trading Update for the three months ended March 2024 (the "Period").
Key points
● | Trading in the Period in line with expectations |
● | Strong growth in commercial aerospace |
● | Outlook for the year remains unchanged; Board anticipates good growth for the Group in 2024 in line with its expectations |
Trading Update
Overall, trading in the Period has been in line with expectations with Group revenue growing 7% year-on-year on a constant currency basis. Aerospace revenue grew by 12% year-on-year driven by growth in commercial aerospace. In Flexonics we had good growth in downstream oil & gas and nuclear with land vehicle sales remaining resilient. As stated in our Full Year results in March, we were anticipating a rebalancing of inventory by our upstream oil & gas customers in 2024. Overall, this has led to Flexonics revenue reducing 2% year-on-year.
Outlook
Overall, the Board anticipates good growth for the Group in 2024 in line with its expectations.
The Group's diversified position across key civil and defence aircraft platforms and increasing aircraft build rates is expected to drive good growth in Aerospace Division revenue through 2024. Regarding the 737 MAX, we have agreed sensible schedules with Boeing and other customers that take into account ongoing production demand, and current customer inventory levels. We have mitigated the impact of lower 737 MAX production with growth in other business.
For the full year we still expect to maintain good performance in Flexonics. Robust demand in our downstream oil & gas business is helping to offset the ongoing rebalancing of inventory by our upstream oil & gas customers and the normalisation to more typical levels of land vehicle market demand.
Further information
Bindi Foyle | Group Finance Director, Senior plc | +44 (0) 1923 714 725 |
Tom Bindloss | Head of Treasury / Interim IR, Senior plc | +44 (0) 1923 714 743 |
Richard Webster-Smith | FGS Global | +44 (0) 7796 708 551 |
About Senior
Senior is a FTSE 250 international engineering and manufacturing Group with operations in 12 countries. It is listed on the main market of the London Stock Exchange (symbol SNR). Senior's Purpose is "we help engineer the transition to a sustainable world for the benefit of all our stakeholders". Senior designs and manufactures high technology components and systems for the principal original equipment producers in the worldwide aerospace & defence, land vehicle and power & energy markets. Further information on Senior plc may be found at: www.seniorplc.com
Cautionary Statement
This Trading Update contains certain forward-looking statements. Such statements are made by the Directors in good faith based on the information available to them at the time of their approval of this Trading Update and they should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying any such forward-looking information.