TCN.L Regulatory News (TCN)

3 October 2012

Tricorn Group Plc 

("Tricorn" or the "Group")

Pre Close Trading Update

Tricorn Group plc (AIM:TCN.L), the AIM listed tube manipulation specialist, announces the following trading update for the six months ended 30 September 2012 ahead of entering its close period.

 The Group has made good progress through the first half with further improvements in operating margin and adjusted PBT* when compared with the corresponding period last year. This has been achieved after absorbing costs associated with the initial start up of the China facility and against softer markets outside of aerospace.

 A key driver for the higher profitability of the Group has been the further improvements in operating margin and higher revenues within the aerospace division. With market conditions expected to remain favourable and new business secured, the prospects for the division are encouraging.

 As highlighted at the recent AGM, there has been some softening of demand through the second quarter most notably within the transportation division. Inevitably the more cautious outlook expressed by some key customers has led to a degree of destocking through the period with customers looking to lower inventory levels.

 In the energy and utilities division, there has been a further increase in both operating margins and profitability despite slightly lower revenues for the period.

 The establishment of the China facility remains on track to be operational by the end of the current year. Discussions regarding the facility with the Group's wider customer base have been encouraging.

 Sales for the second half are anticipated to be at similar levels to the first 6 months and full year PBT is expected to be in line with market expectations.

 Tricorn will provide a further update at the time of the release of its unaudited interim results for the six months ended 30 September 2012, which is expected to be on 3 December 2012.

 *All references to PBT are before intangible asset amortisation, share based charges, fair value adjustments and restructuring costs.

  For further information please contact: 

Notes to Editors:

Tricorn is a value added manufacturer and specialist manipulator of pipe and tubing assemblies to niche markets worldwide in the Energy & Utilities, Transportation and Aerospace sectors.

Headquartered in Malvern, UK, Tricorn employs around 300 employees and operates through four brands: MTC; Redman Fittings; Maxpower and RMDG Aerospace.